Good morning traders, today we want to share with you our weekly chart analysis on the EUR / JPY pair so that you can see why we consider that it has great upside potential. In addition, we will detail the short-term vision, which supports the long-term vision.
🔸In the Weekly chart, we see that at the beginning of the year the price bounced in a strong support zone, and since then the upside move has not stopped.
🔸Along the way, it broke out of the Descending Trendline, but began to retrace once it faced the resistance zone, and has since consolidated for the last few months.
🔸Now, we see that it is back in the area, retesting the local highs.
🔸If we reduce the timeframe, on the 4H chart, we can see that it is a clear cup and handle pattern.
🔸We consider that it would be safe to wait for a clear breakout from the current consolidation to be more certain of the move.
🔸In the Weekly chart, we see that at the beginning of the year the price bounced in a strong support zone, and since then the upside move has not stopped.
🔸Along the way, it broke out of the Descending Trendline, but began to retrace once it faced the resistance zone, and has since consolidated for the last few months.
🔸Now, we see that it is back in the area, retesting the local highs.
🔸If we reduce the timeframe, on the 4H chart, we can see that it is a clear cup and handle pattern.
🔸We consider that it would be safe to wait for a clear breakout from the current consolidation to be more certain of the move.