EURJPY , mixed zone, look for range break 130.78 and 127.98

EURJPY is facing huge resistance at current levels. While price is hovering over the 20 Day Moving average, it has been rejected right from the 20 week Moving Average, which is more stronger than the smaller time frame. RSI for Daily, Weekly and Monthly Time frames are still above 50 suggesting strength and we will need to watch out as the trade develops.

Price now trapped in a range: State of indecision.

Resistance : Upper Level : 130.78
Support : Lower level : 127.98

Look for larger moves if the above levels are broken.

Comment:

As expected, price falls from the top of the range and comes hitting hard down towards the lower end of the range.

Let's look at the economic news coming in the week with the chart formation in mind.

Comment:

Lovely sharp fall from the resistance zone and then a lovely support candle . EUR as we speak is is below its 20 Day moving average , 50 Day, 100 Day and 200 Day Moving averages...only weaker currency currently being NZD.

Fundamental news last week has put EUR strength. The EUR is strong because of Core CPI, CPI (MoM) and CPI (YoY0 is better than previous. This news was released on Oct 1st 2021. Great place to go for a short could be Bollinger band break + add positions close to 20 Day MA. Stop loss candle close on day basis above 20D Ma. Maintain Risk management