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EUR-JPY: Having maintained a third week of upside gains following its failure below its triangle bottom at 130.24 and subsequent recovery higher, the cross now looks to build on those gains with eyes on the breakout of the mentioned symmetrical triangle. If this is seen, scope for further higher prices will shape toward the 138.71 level with a loss of there paving the way for a run at the 139.26 level, its year-to-date high.

Its weekly momentum indicators have turned higher, supporting this view. To the downside, the 132.16 level, marking its Oct. 12 low, looks to provide support with a turn below there exposing the 130.61 level, its Sept. 30 high, followed by its Oct. 2 low at the 128.98 level.

We maintain our medium-term upside bias view on the cross, suggesting its current price consolidation within the symmetrical triangle remains corrective of its medium-term uptrend initiated from the 112.07 level. On the whole, with continued upside momentum seen, EUR-JPY looks to break out of its triangle pattern and possibly retarget its year-to-date high at 139.26.

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 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.

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