EUR/JPY Forecast February 23, 2016, Technical Analysis

The EUR/JPY pair broke down during the course of the session on Monday, clearing the 125 handle. This of course is a very bearish sign in fact that we are closing towards the bottom of the candle suggests that this market is going to go lower. That’s a very negative sign in general, so at this point in time we are perfectly comfortable selling this particular currency pair. The 125 level now should be resistive, as it was so supportive for that short range of time. We have no interest in buying, and believe that sooner or later we should reach down to the 122 handle.