By Mohammed Isah of fxtechstrategy.com
: The pair is entering its third day of weakness following its loss of momentum at the 134.53 level.
It appears headed for further declines toward 128.94.
A sustained penetration of that level will clear the way for further losses toward the July 8 low at 127.00, followed by 126.83, the Nov. 26 low.
The daily studies are trending lower and suggesting more weakness.
For the pair to head up again, it must break and hold above 134.53. From there it would target 135.37, its Nov. 10 high, and then pattern resistance at 138.30.
On the whole, with the EUR-JPY again outside its triangle pattern, further weakness is now envisaged toward 128.94 and possibly lower.
Mohammed Isah is a technical strategist and head of research at FXTechstrategy.com, a technical-research Web site. He has been trading and analyzing the foreign exchange market for the past seven years. He formerly traded stocks before crossing over to the forex market, where he worked for FXInstructor LLC as a technical analyst and head of research before joining FXTechstrategy.com. He has written extensively on the forex market and technical analysis and his articles have been featured in The Technical Analyst Magazine, The Forex Journal Magazine, The International Business Times and FXstreet.com. At FXTechstrategy.com, he writes daily, weekly and long-term technical commentaries on currencies and commodities, which are offered to its clients. He also produces
for his subscribers. He provides full coverage of the forex market with specific focus on G10 currencies as well as the commodities markets, with focus on five key commodities.