EURJPY is still bearish in the sense of forming lower lows and lower highs. This means the trend is still bearish and the market has the potential to continue moving down towards the support level and maybe beyond that. That being said, we will be looking to take a short position at the 50% of the full bearish candle.

The descending trendline still needs to be tested at the resistance level so that it can either reject or breakout buy for that matter. If rejected, it will be a sign of downward move. Also, the ascending trendline has induced the breakout sell.

The retracement level of 61.8% is slightly below the resistance level which indicates the fact that the market will fall down, if rejected from this retracement level.

Since previous few days, the EMA 50 has been bearish and has the potential to move the pair further down with its EMA 50 move. The moving average is steap and will be able to move down towards the next support level. EMA 50 has been retested at the resistance pivot where the market rejected.

RSI is at 47. It needs to be neutralized at the 50 level, which will be in confluence with other technical factors for the market. In that sense, we will have confluence of multiple factors for this.

EURJPY still bearish

Dec 07 2022