The EURJPY has fired off a small false break pin bar on the daily price action chart. This pin bar is very small when comparing it to the very best pin bars however it is making a false break of the recent down swing and could be hinting at a move higher and into the near term resistance. If price can confirm the pin bar by breaking the high and make a move higher, the near term resistance is close over-head as marked on the chart below. If price can move into this area it may struggle or at the minimum possibly look to stall.
Price had been in an uptrend in this pair and most of the JPY pairs. Price recently found a high and started to roll over before moving into consolidation/boxing. Price has formed this pin bar at the lower end of the boxing and the pin bar has very minimal space to move into because it is trading straight back into the boxing area which can often act as support & resistance. If price moves lower, the first support area it will have to break is the area the pin bar is making a false break of. If this support level breaks it could be an indication a new trend lower is on the cards.
EURJPY Daily Chart
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