By: Dima Chernovolov
EUR/JPY recently broke the hourly Triangle chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Triangle at the 2-bar level – which is the result of the low Initial Trend (2 bars), above-average Uniformity (6 bars) and near-maximum Clarity (9 bars). EUR/JPY is expected to rise toward the forecast price 139.42.
As can be seen from the daily EUR/JPY chart below – the pair earlier reversed up strongly from the support area located between the pivotal support level 138.00 (which also reversed the price sharply in September) and the lower daily Bollinger Band. The proximity of this support area and the oversold daily Stochastic increase the probability EUR/JPY will continue to rise toward the forecast price 139.42