EUR/JPY analysis for August 08, 2017

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Recently, the EUR/JPY has been trading sideways at the price of 130.40. According to the 4H time frame, I found a fake breakout of the sideways base, which is a sign that buying looks risky. There is also a hidden bearish divergence on the moving average oscillator, which is another sign of weakness. My advice is to watch for potential selling opportunities. The downward target is set at the price of 128.60.

Resistance levels:

R1: 131.00

R2: 131.40

R3: 131.80

Support levels:

S1: 130.20

S2: 129.75

S3: 129.50

Trading recommendations for today: watch for potential selling opportunities.

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