Daily

EUR/JPY demonstrated a noticeable rally on Friday. Probably we observed Hammer candlestick formation but it was ambiguous and we could not see any other formations. As the result, the quotes finished their rally above the correctional level of Fibonacci 50.0% - 102.76. Thus, on Monday two scenarios are possible: if the quotes do not fix below the correctional level 50.0%, the acceleration may extend towards 61.8% - 104.80. If the rate fixes below Fibonacci 50.0%, the quotes may fall towards 38.2%- 100.71 of Fibonacci. Bearish candlestick formation may result in significant rebound from the correctional level of 50.0%.

4h

On 4H time frame the pair began its growth after bullish candlestick formation Harami was built and it fixed above the correctional level of 100.0% - 101.61 Fibonacci. Thus, the growth may continue till the correctional level 161.8% of Fibonacci – 106.26. Building of bearish candlestick formation may signify quotes reverse towards the Japanese currency and initiate a modest rebound towards correctional level of 100.0%. Bullish candlestick formation may result if quotes growth.