EUR/JPY fell to 102.75 forming a triangle on the EUR/JPY 1H Chart. The pattern has 73% quality and 40% magnitude in a 95-bar period.
The pair touched the resistance level first at 104.25, then at 103.77 and at 103.59, whereupon it slowed near the support level at 103.74. The pattern entered its final stage, so шf the price brakes the pattern's lines, a massive price impulse is expected. Bulls may focus their attention on the support level at 103.14. If the price recoils, the first target for long traders could be around 103.42. If the price breaches this level, the second target might around 103.58, where the present local high lies.
SMA200 indicator was decreasing during the last 95 bars, which increases the possibility of a bearish trend extension. The present bias on the 1H, 4H and daily timeframes remains neutral, showing uncertainty of the short-term trend. If the price pierces the support level at 103.10, the first target for short traders could be at 102.75, where the pattern's low stands.