Fundamental Summary (Eur)
The Euro continued its down slide against most its counterparts this past week (17-21 Oct 2016). Vital economic data came out in the Euro zone during the week coupled by the ECB President Draghi speech and the EU summit where Theresa May highlighted that the UK should still be part of summits and negotiations when matters affecting all 28 member states were being discussed. Having being advised by British officials to be cautious over what she negotiates in bilateral meetings,as this can be easy to misinterpret, she insisted that the UK has the right to begin trade negotiations with the rest of the world. This stresses the fact that Britain’s referendum decision will never be overturned.

-Interest Rate Decision
The ECB kept interest rates unchanged. This was based on their regular economic and monetary analysis. Click Here for the statement and transcript of questions and answers.

On Monday we had the Euro Zone Consumer Price Index data, for Sept, which was up from 0.2% in August to 0.4%. Data for the United Kingdom for September 2016 were not available in time for publication. Due to this fact the EU totals have been calculated using Eurostat estimates.
I personally believe that the debate around the FED’s decision is what most countries are leveraging on. All eyes on America now.

Upcoming Data for the week
On Monday:
-Purchasing Managers’ Index data
-ECB President Draghi speaks
During the week we have data from the Euro Zone Countries

Fundamental Summary (Yen)
There were no major economic data release from Japan over the past week (17-21 October 2016). Top Tier Chinese data, the 3rd quarter GDP and September’s Industrial Production on Tuesday had an effect on the Japanese Yen.

Technical Analysis

-The green and red long horizontal rectangles are drawn in to show resistance and support lines.
-The green being my support and red being my resistance.
– Bulls look for buy opportunities on the support levels and bears for sell opportunities on resistance levels.

EurJpy Daily Chart

Price traded just below the monthly pivot point at the beginning of the month which broke the minor level of resistance of around 113.900. The bulls bought it off then though failing to break through the top of the range of around 116.200 which coincides with the MR1. We then saw bears sell it off at the resistance level for which I believe their target is the bottom of the range 112.058. keep in mind that 112.00 is a vital psych level which price has been failing to break over the past two months. Should price break this level I expect to see further bearishness on this pair

EurJpy H4 Chart

Price broke through the bottom range, on Tuesday the 18th, of what was relatively a ranging previous week. It opened just below the Weekly Pivot and continued its downward rally through the descending channel continuing a series of lower lows and lower highs in that regard. It reached its Bear target of MS1 which was a key Support level of 112.626. I expect to see price retrace up to a resistance level of 113.162, which coincides with the fib zone, should it break through the current resistance level of 113.100. Being a bear on this pair, I will sell off where I expect price to be.

On Friday we saw the yen strengthen across board. The daily bear target was achieved. We can clearly see how price has been respecting fib levels over the last two days of last week. I am expecting a retracement up to cancel out friday's downward move and selling it off around 113.500.

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