EUR/JPY dips below 139 JPY

Pair continued to demonstrate strong bearish bias and dipped below 139 JPY. However, it found support slightly ahead of 50% Fibo (Jan to Feb sell off) and returned above 139 JPY. We expect to observe further bearishness at least in the short term. In case the pair dips below the weekly S2 we are almost certain to see a sell off till 136 JPY. Any king of bullish action is very unlikely, at best we could await consolidation around 140 JPY.

It seems that bulls are losing willingness to push the pair higher as bullish side of pending orders decreased by 10-20% and for the first time in 2 weeks is below 50% level (40-44%). Distribution of open positions remains almost unchanged—51% long.