Trade of the Day: EUR/JPY
By: Dima Chernovolov
EUR/JPY continues to rise inside the hourly Up Channel chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Up Channel at the 6-bar level – which is the result of the above-average Initial Trend (6 bars), higher Uniformity (7 bars) and medium Clarity (5 bars). EUR/JPY is expected to rise further inside this Up Channel.
As can be seen from the daily EUR/JPY chart below – the price earlier reversed up from the support zone lying between the powerful support level 128.00 (previous monthly low from August and September) and the lower daily Bollinger Band. The proximity of this support zone adds to the probability EUR/JPY will continue to rise inside this Up Channel.