Quote:
Originally Posted by tradermoe
ok thanks for your input. but wouldnt you say there is a good possibility to move down because it does seem like we are at a pretty strong resistance level. if you look at the horizontal trendline on my chart it seems to have fought off any attempts to break it. also another trendline can be drawn from the 166 area down to the present 159 area. we are also near the 61.8% level also. plus the candle stick patterns. and i noticed on your chart the slow stochastic is moving into overbought and it looks like the macd histogram is starting to level out while the macd lines are still below 0. so when you put everything together it just seems like the odds of the trend moving down are much stronger than it breaking upwards. thanks again for your help it has been very helpful to me.
moe
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You are welcome. You have some strong arguements in favor of a down move.
The interest rate difference between the Eurozone and Japan is 350 basis points. The rollover for being Long EUR/JPY is $3.69 on a mini lot which is tempting.
With risk aversion abating thanks to Bernanke and company, 10-year Treasury Yields rising, and equity markets rallying we will know very soon which way EUR/JPY wants to go. I think the fundamentals will allow EUR/JPY climb this "wall of worry" that is in the markets.
