The EUR/JPY uptrend remains very close to the maximum of the last week. The pair is above the weekly pivot of 113.13. It is likely that if the pair is above this level, then it continues its upward trend until the first weekly resistance 115.14. On the other hand, if the pair closes below 113.13 it may have a rapid fall 111.50 to support and further down to the psychological level of 110 yen. At a fundamental level, the Bank of Japan is about to massively expand its monetary policy, and probably for the next few months this pair may be trading at the level of 1.20 yen per euro. Thus, we have traced the likely movements according to the table pivots.
Signals for December 31, 2012 - January 05, 2013
Buy if it rebounds around 113.13 (W_PPV) with take profit at 115.14 and 116.71, stop loss is bellow 113.13
Sell if it closes bellow 113.13 (W_PPV) with take profit at 111.50 and 110.00, stop loss is above 113.13.
____WEEKLY_____
Weekly - R3 = 118.72
Weekly - R2 = 116.71
Weekly - R1 = 115.14
Weekly Pivot = 113.13
Weekly - S1 = 111.56
Weekly - S2 = 109.55
Weekly - S3 = 107.98
If you would like to get this indicator, feel free to contact me via e-mail: gerardo.porras@analytics.instaforex.com