EURJPY – double bottom pattern, but demand doesn’t look very strong

For almost 3 weeks EURJPY moved in a downward channel. All this time the movement was near to key support. On last Thursday after failure attack at 126.20 level, you can see characteristic double bottom pattern (visible at time-frame D1). Since that moment all candles are green, but reaction of demand isn’t as strong as you could expected.

Yesterday there was first attempt of breaking above upper limit of downward channel and that movement continues today. If price doesn’t rebound, target for upward movement will be at 129.00 and after it’s breakout stronger resistance is located at 129.80. Alternatively if bearish sentiment comes back nearest supports will be at: 127.90, 127.50, 127.10, 126.80.

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Time-frame H4

Time-frame D1