The EUR/JPY has decreased again in the last four days because the bulls weren’t able to maintain the rate higher, the rate has changed little today, but remains under selling pressure on the short term, Yen is struggling to increase again, the Nikkei stock index is trading below the yesterday’s closing price from 16879. The EUR/JPY continues to move sideways on the short term, technically is expected to drop again in the coming days and could approach again the 112.30 minor static support, we’ll see how the rate will react after the Euro-zone will release the Industrial Production, the economic indicator is expected to increase by 1.4% in August, could lift the Euro because will come jump again in the positive territory after the 1.1%% drop from July. The Industrial Production could reach the highest level after March 2016.
The German WPI rose by 0.4%, more than the 0.3% estimate, has come much better after the 0.7% drop from the previous reading period, while the French Final CPI has dropped by 0.2% in September, matching expectations, the CPI has decreased again after the 0.3% growth from August. The Yen has increased little as the Japanese Core Machinery Orders have come better, have decreased only by 2.2% , less than the 4.4% estimate, the orders have plunged again after 2-month increase, while the Prelim Machine Tool Orders has decreased by 6.3% in September, has reached the lowest level of the last 14-months, the Yen could increase slowly these days versus all its rivals, could redeem ground also versus the greenback, which is forced to decrease by the USDX minor retreat. The USDX has edged higher aggressively in the yesterday’s trading session.

EURJPYd

The price was rejected again by the median line of the medium (ML) term descending pitchfork, actually we had a strong confluence area formed at the intersection of the median line (ML) with the downtrend line, has failed also to consolidate above the 61.8% retracement level. The rate is very close to reach the yesterday’s low from 114.07, is likely to drop below this low and to approach other lows, could drop towards the 112.30, when we have a minor static support. Technically the rate is expected to drop towards the lower median line (lml) of the short ascending pitchfork because has failed to reach and retest the median line (ml) of the ascending pitchfork. The perspective remains bearish on the medium term as long as the rate is located in the descending pitchfork’s body, the sentiment will change drastically only if the rate will jump and will stabilize above the median line (ML) and above the 61.8% retracement level.

EURJPYh

The rate has plunged aggressively after has escaped from the minor ascending pitchfork, is expected to fall further even if will have a minor rebound right now, the price could move sideways on the H4 chart before will resume the bearish momentum.

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