EUR/JPY Short Opportunity: Heading to its trendline resistance

Fundamentally EUR is under pressure because of the Russia-Ukraine war. But JPY is also weak a lot. As a result EUR/JPY has advanced nearly 650 pips from its recent swing lows. There is no credit for EUR in such up. Just because the JPY is too weak.

"The longer the war continues, the more likely it becomes that the real economic and inflationary effects for the eurozone will be significant. And that is why that prospect is negative for all EUR-related pairs.

EUR/JPY is one of the major indicators for the stock. If EUR/JPY drops, I have seen the stock also drops. That's why investors use EUR/JPY as a stock indicator.

European countries invest more in the military, defense, and security sectors than their economy. So, if the Russia-Ukraine war keeps continuing, the European economy will harm a long time.

So, I don't think EUR will remain strong against JPY based on the present condition.

So, if we get EUR/JPY in trendline resistance level, there could be a good chance to short EUR/JPY.


ER/JPY short zone ( Trendline Resistance Zone): 132.50/133.00
Stop Out level:
Above the trendline resistance level and high swing zone: 134.30/134.50
Target zone 1: Immediate trendline support: 130.00/129.85
Target Zone 2: 127.50/127.00