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Bullish Outlook Under Threat *RES....>

EURO-YEN TECHS
EURO-YEN TECHS: Bullish Outlook Under Threat
*RES 3: 122.80 1.382 projection of Sep 3 - Sep 13 rally from Oct 3 low
*RES 2: 122.65 High Dec 13 and bull trigger
*RES 1: 122.50 High Dec 27
*PRICE: 121.13 @ 16:50 GMT Jan 2
*SUP 1: 120.84 50-dma
*SUP 2: 120.98 Low Jan 02
*SUP 3: 120.76 Low Dec 12
EURJPY is off recent highs and retreated back below the 200-dma Thursday. The
moves have called into question the bullish outlook somewhat and a close below
the 121.00 handle would go a long way to adding to the downside case. For bulls
to regain the balance, markets must take out 122.65, Dec 13 high. Clearance of
this level would open 123.99, the top of the bull channel drawn off the Sep 3
low. Thursday's break of 121.06 has, however, exposed the channel base currently
at 120.25.

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