FxWirePro: EUR/JPY finds major support at 117.50, good to go short on break below

• EUR/JPY upside stalled shy of 5-DMA at 118.56, the pair has retreated from session tops to currently trade around 118.20 region.
   
• A downward revision of the final Euro-zone services PMI prints for March further weighed on the shared currency.
   
• The pair could accelerate slide on a sustained break through 117.50 support (major trendline).
   
• Downside then finds little support till 116.40-35 area.
   
• Hammer formation on the downtrend does suggest some consolidation before the next leg lower.

Support levels - 118, 117.63 (200-DMA), 117.50 (trendline), 117.42 (April 4 low)

Resistance levels - 118.40 (38.2% Fib retrace of 109.20 to 124.09 rally), 118.57 (5-DMA), 119, 119.31 (1H 100-SMA)

TIME  TREND INDEX  OB/OS INDEX    

1H          Bearish               Neutral       
4H          Bullish                Neutral       
1D          Bearish               Neutral        
1W         Bearish               Neutral      

Call update: Our previous call (http://www.econotimes.com/FxWirePro-EUR-JPY-finds-stiff-resistance-at-12080-intraday-bias-bearish-good-to-stay-short-614544) has achieved all targets.

Recommendation: Good to go short on break below 117.50, SL: 118.40, TP: 116.65/ 116.25/ 116

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at 0.900424 (Bearish), while Hourly JPY Spot Index was at 126.741 (Bullish) at 0830 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.