[COLOR="Blue"]Technical analysis of EUR/JPY dated 03.01.2013[/COLOR]
As it was mentioned in the previous analysis of this currency pair dated 06.11.2012 according to the formed signs and the Wolfe wave technical pattern, there was the possibility of ascending of the price till the target line which finally happened. The price during its ascend has recorded the top price of 116.000 and this level was in the attention of many traders specially buyers because of being rounded and has been used as a target price.Right now this price level is the nearest and important resistance level in front of price (also because of being rounded is important).
As it is obvious in the picture below, in daily time frame the price has been stopped by reaching to the descending trend line and Stoch indicator is in saturation buy area warns the possibility of decrease of the price according to the next cycle. Right now the daily candle of the previous day is closed in a descending trend and shows the descending trend in daily and weekly time frame of this currency pair. Generally until the top price of 116.000 is preserved, there is the possibility of recent ascending trend reformation.
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FxGlory
2013.01.03[/COLOR]