EURJPY needs the bullish momentum – Analysis – 31/7/2015

The EURJPY pair got negative close below the moving average 55, which forced it to form sideways bias due to the contradiction between the major indicators, while the price settles above 135.50 level as appears on chart, thus, we expect the domination of the sideways bias for the current period until gathering new positive momentum to rally bullishly towards the first target at 137.60.

Stochastic reach to the oversold areas besides the price stability above 135.50 level support the attempt to get new positive momentum for the upcoming period, while trading below the mentioned level will put the price within the bearish level and cancel the positive overview for the upcoming period.

Expected trading range for today is between 135.50 and 137.60

Expected trend for today: Bullish