By FXEmpire.com
The EUR/JPY pair had a wild week as it was initially very bearish, only to bounce back and form a massive hammer. This is the third hammer a row, and it does suggest that a bounce is coming in this market. The 100 level is the “epicenter” of the support zone, and it does look like the market has a natural proclivity to break back above the 101 level. With this being said, a break of the highs from the previous week’s hammer would in fact be very bullish.
With all this being said, it can be very difficult to sell this market and as such we want. If we choose to go long the Yen, we will do against other currencies as this one looks a very well supported. Again, a break of last week’s highs would have us buying this market, and perhaps aiming for as high as 106.
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Originally posted here
