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16.05.2012 10:08 AM
EUR/JPY Hits The First Measured Extension, Pullback is expected

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Technical Outlook:

As shown above  the single currency has met its first downside extension (support) at 102.04 as it was expected. The overall outlook still remains bearish and positional traders should target 100.50 levels in coming sessions. 1H charts are looking a bit stretched in the oversold area, hence a pullback is expected towards 103.50/104.00 levels, where the dropping trendlineis drawn. It is recommended to book partial profits and wait for another chance to sell from above levels.

Trade Recommendations:

Sell-deals around 104.00/104.50 levels, stop at 105.50 with 100.50 seen as target. Book Partial Profits for now and re-enter shorts around 103.50/104.00.

 

Good Luck !

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