EURJPY- The cross remains biased to the upside as it looks to resume its broader rally triggered from the 72.05 level. However, it will have to break and close above the 109.87 level to resume that trend. This if seen will pave the way for a run at the 111.52 level, its Oct 31’2011 high. A breather may occur here and then turn it back down probably on a correction. However, if this fails to happen, further strength is likely towards the 112.34 level with a violation of there extending further gains towards the 113.00 and then the 114.14 level, its July 31’2011 high. Conversely, the risk to this analysis will be a return to its Mar 06’2012 low at 105.63 where a violation will call for a run at the 104.49 level, its Dec 09’2011 high and then the 103.27 level. All in all, EURJPY continues to maintain its broader upside tone.
