FX.co ★ EUR/JPY Candlestick Analysis for September 21, 2012

Daily

The quotes fixed under the correctional level of 50.0% - 102.76% Fibonacci. Thus, we can assume the quotes will drop during the next few days. As a result, the quotes decline may continue towards the correctional level of 38.2% - 100.71 Fibonacci. If the quotes fix above 50.0%, the acceleration may extend towards 61.8% - 104.77. No new candlestick formations were built. It complicates slightly the situation as there are no signs of possible changes. The pair can make a rebound from the correctional level of 38.2% and a turn of quotes in favor of the euro, especially, if the bullish candlestick formation is formed near the level.

4h

On 4H time frame the quotes fell to the correctional level of 100.0% - 101.60 Fibonacci after bearish candlestick formation Harami was built and it fixed under it. Thus, the rate fall may continue towards the correctional level of 76.4% Fibonacci – 99.83. Fixation of EUR/JPY above the correctional level of 100.0% will mark the turn in favor of the euro and reverse towards the correctional level of 161.8% - 106.24 Fibonacci. But the building of bearish candlestick formation will intensify the anticipation of the quotes fall to the correctional level of 76.4%.