EUR/JPY Forecast October 11, 2016, Technical Analysis

The EUR/JPY pair initially fell during the course of the session on Monday but turned around to form a significant hammer. If we can break above the top of the hammer, I think we will again test the 116 level, which has been massively resistive. A break above the recent high could be reason enough to go long for a longer-term trade, and as a result that’s essentially what I’m waiting on. I have no understand selling this pair at the moment, but do recognize that a break down below the 115 level could encourage me to do so.