- EUR/JPY bulls taking up the lead in quiet Asian session.
- 133.50 is critical resistance, that if broken, opens the risk of a fast 15 pips pop to test 4-hour highs.
The following series of charts illustrates the bullish bias from a top-down perspective.
EUR/JPY daily chart
EUR/JPY 4-hour chart
The 4-hour chart shows that the price is forming an awkward reverse head and shoulders with a bullish tendency.
The price would be expected to fill in the daily wick and retest the old 4-hour highs and daily resistance.
In doing so, this would leave a W-formation on the 4-hour chart. Should the neckline hold on a retest, then there would be prospects for a break of daily resistance.
EUR/JPY 1-hour chart
Meanwhile, the cross has been a slow burner overnight but is coiled at potentially on the verge of a bullish breakout from the the 21-EMA to at least meet near to the 4-hour highs in the 133.60s.
The 15-min price action is already making headway from bullish structural support.
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