EURJPY Future Direction Hinges on 117.80

by Justin Bennett  · 

September 25, 2019

by Justin Bennett  · 

September 25, 2019

by Justin Bennett  · 

September 25, 2019


Important: This site uses New York Close Forex Charts so that each 24-hour session starts and ends at 5 pm EST. These charts are essential for trading price action.

EURJPY is encountering buyers at a level I mentioned on Saturday.

I wrote about 117.80 in last weekend’s forecast and also pointed it out in Saturday’s video.

It was actually a range of support between 117.80 and 118.30.

However, I was more interested in 117.80 as it’s closer to the 50% retracement of the rally that began on September 3.

You can see how 117.80 also supported EURJPY between the 5th and 22nd of August before flipping to resistance later that month.

So far, buyers are doing their part to support the pair at 117.80.

But that doesn’t mean it will continue.

Furthermore, we don’t have a price action signal to suggest that now is the right time to buy the EURJPY.

It’s going to take a bullish pin bar at 117.80 to pique my interest.

A break above Wednesday’s high would also be appealing.

Notice how EURJPY has carved lower highs since coming off channel resistance on the 19th.

A break above Wednesday’s high of 118.19 would be the first in this series of lower highs.

That doesn’t mean a break above 118.19 will send EURJPY higher, but it would be indicative of an increase in demand.

For those who want to play this more conservatively, waiting for a close above channel resistance would be ideal.

And if you’re bearish EURJPY, a daily close below 117.80 would signal weakness and expose the 116.00 region.

In other words, the future direction of the pair hinges on 117.80.

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EURJPY daily time frame showing descending channel and 117.80 support level

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14  Comments

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      1. Smiles

        You are a good man.

        Thank you for all the sacrifices you pay to be a blessing to people like me who are still trying to find their feet in this industry.

        God bless you

  1. 1. I could open account with you, but I´m not sure when I read such messages.
    2. Bluberry is good broker? Spreads are perfect, but swaps can kill you, if you are swing trader.

    1. Hi there! the future direction of this pair is unknown. What is known is that EJ has completed its market cycles for the quarter and the month .. And for the week it might drop some more, however I do not trade when bigger time-frames MARKET CYCLES ARE DONE…I find THE DAILY CHART AND THE 4HR CHART MARKET CYCLES easily tradable.

  2. Mr Justin, thanks for your analysis.

    After reading the information here, I became conscious of the psychological 117.80 level. I was curious to see how price reacts to that level.

    On 30th of September, 2019 the EURJPY carved an inside bearish candle which closed just below 117.80.

    I can tell you now that I am Short the EURJPY pair because of the Brearish Inside candle PIN Bar that formed on October 1, 2019.

    I entered the sell at 117.85 with 40 pips stop Loss. I am holding my trade so far 117.80 becomes key resistance level.

    Thanks, Mr Justin.

  3. Why are you not looking fundamental? Bcz like today gbp fail all level! So many time its happened. Whats the solution of this?

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