EURJPY starting to come back lower
The EURUSD cracked outside the narrow 54 pip floor to ceiling range - falling below the 1.2281-847 area (see earlier post).
The fall took the price to the next floor area in the 1.2251-60 area. The low reached 1.22528 so far. We trade at 1.2260 currently.
A break below that floor will look toward the March 20 low at 1.2239. That break should have sent the price lower (the same floor applied). It did not.
A second break now should solicit more selling and will have traders looking for more downside potential.
Helping the bearishness, is a fall below a trend line on the daily chart at 1.2294.
The price on the daily chart, has been trading in an up and down range since January 12th. The price remains in that range (see red box below). The fall below the trend line is more bearish, but to keep the momentum going, the pair will still need to take out the targets from the hourly chart.
Overall, more bearish, but there is work to be done and that includes getting below the 1.2251 level.
