EUR/JPY Forecast November 18, 2015, Technical Analysis

The EUR/JPY pair fell slightly during the course of the day on Tuesday, as we continue to meander around the 131.50 level. Ultimately, this market probably goes higher from here on a bit of a bounce, but we believe that the downtrend continues to show real strength. We think rallies offer selling opportunities, especially near the 133.50 level where we would anticipate seeing quite a bit of resistance. On the other hand, if we break down below the hammer printed on Monday morning, we would be sellers as the market should reach towards the 130 handle next. All of these trade ideas of course are short-term in nature.