The EURJPY maintained a bearish momentum last week , topped at the 140.94 levels , and bottomed at the 138.77 levels .Now pressure will be on the key support 138.77…
The EURJPY will have to hold below the 138.77 levels on a weekly closing basis to push the market for further downside losses , If seen , It will target the the 137.40 levels , a halt is likely , but losing the 137.40 levels on a weekly basis will open 135.70 levels, further downside will aim the 133.70 levels.
Alternatively , a failure to hold below the 138.77 levels on a weekly closing basis could mean a return to the 140.09/140.94 levels , a halt is suggested , but break of 140.94 on a weekly basis will recapture the 143.78 levels , If this resistance is taken out , expect the pair to strengthen further towards the 145.68 levels..
In all, as long as resistance 140.94 holds on a weekly closing basis , outlook in EURJPY remains on the downside towards the 137.40 levels ahead of the 135.70 levels. Break of the 140.94 levels on a weekly basis will reverse risks towards the 143.78 / 145.68 levels..