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Inverted Head And Shoulders Reversal?

EURJPY TECHS
  • RES 4: 131.59 High Nov 5
  • RES 3: 129.99 High Nov 19
  • RES 2: 129.48 50-day EMA
  • RES 1: 129.11 High Dec 08
  • PRICE: 128.90 @ 066:28 GMT Dec 16
  • SUP 1: 127.81 Low Dec 10
  • SUP 2: 127.39 Low Dec 3 / 6 and the bear trigger
  • SUP 3: 127.28 1.00 proj of the Jun 1 - Sep 22 - Oct 20 price swing
  • SUP 4: 127.04/126.65 Low Feb 15 / Low Feb 10

EURJPY traded higher yesterday. The climb highlights a potential bullish reversal pattern - an inverted head and shoulders - that would signal scope for a stronger rally near-term if confirmed. A break of 129.11, Dec 8 high would confirm the pattern and also establish a bullish price sequence of higher highs and higher lows from early December. This would open 129.48, the 50-day EMA. Initial firm support is seen at 127.81, Dec 10 low.

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