EUR/JPY 1H Chart: Ascending Triangle

EUR/JPY has recently broken out of the ascending triangle to the downside. The pair is therefore expected to extend the decline even further south.

However, since the cross has already hit the first target, namely the Jun 23 low at 138.29, there might be a bounce back to the rising trend-line and 200-hour SMA at 138.57 before there is another bearish wave. In any case, the weekly S1 at 138 is considered to be the Euro's next objective, followed by Jun 16 low at 137.70. In the meantime, the SWFX market appears to be undecided with respect to EUR/JPY—at the moment 47% of open positions are long and 53% are short.