Correction Thus Far Is Shallow.......>

EURO-YEN TECHS: Correction Thus Far Is Shallow

*RES 4: 123.36 High Jul 1

*RES 3: 122.20 200-DMA

*RES 2: 121.68 50% retracement of Mar 4 - Sep 3 decline

*RES 1: 121.48/57 High Oct 21 / Bull channel top drawn off Sep 4 low

*PRICE: 120.53 @ 05:49 GMT Oct 28

*SUP 1: 120.01 High Sep 13 and former breakout level

*SUP 2: 119.75 Low Oct 16

*SUP 3: 119.12 Low Oct 15

*SUP 4: 118.73 Low Oct 11

EURJPY closed at the bottom end of last week's range with the correction thus

far proving to be relatively shallow. The underlying outlook remains bullish.

This was confirmed recently on the break of 120.01, Sep 13 high. Note that for

the near-term, the uptrend did recently stall at the top of a bull channel drawn

off Sep 4 low. This development may result in a deeper correction and levels

below 120.00. On the upside, the trigger for a resumption of gains is at 121.48.