A daily Hammer at August’s 9 month low for the EURJPY left last week’s signals pointing cautiously higher. These were confirmed with a gain of just over ¾ Big Fig. Although signals remain positive, buying has been tentative and the bounce has stalled from close to the 50 day average rate.
So, until this level is clearly broken, the outlook for this week is to cautiously buy on the open and at 136.46, with a stop loss at 135.72, this month’s base. Targets are to 137.63, Friday’s high, 137.93/05, this month’s tops and 139.30, July’s high trade.
