EUR/JPY was capped at 111.24 and has formed a Channel Down formation on the 1H chart. The pattern has 58% quality and 52% magnitude within 191 bars.
The pair was growing during last two months and has slowed near the resistance around 11.24/44. Yen tried to strengthen versus Dollar at February 26, but broke this level later. The pair's recoil was supported by RSI indicator, which has decreased from over 70% to 41%. If the rebound continues, the premier target for short investors could be around 109.87, where the previous resistance level stands.
Stochastic indicator is very sensitive and gives many signals on position opening, while the pair has been traded in the range. If the bears will not succeed, bulls may focus their attention on the resistance around 111.15. If the pair breaks 111.15, the first target for long investors could be around 111.67.