EURJPY Christmas Fever Has Arrived

How to work with this article?

When we keep watching the market for a long time, we can notice that numerous movements of assets become more understandable and predictable. However, when we make even a small step towards our "successful" strategy, the market brings a new surprise. Sometimes, such surprises, as many have said, are quite predictable. And also, it is a distinct trait of EURJPY.

Let's see whether that is true.

Basic arguments

According to various backgrounds, interest rates indicate that EURJPY should rise in the next several weeks. Christmas, as well as the coming profit-taking period, supports this idea.

Technical arguments

From the technical point of view, EURJPY reached the support level and is going to the moon in the next few weeks. It is also affected by a Christmas fever.

Big traders' analysis

Picture 1

Picture 1. A chart of EURJPY with the index of big traders for the period of 25.10.2019 - 25.11.2019.

As we can see in picture 1, the index is near the bottom now, but it is ready to support the EUR rate as the demand for JPY is quite weak in a pre-Christmas period.

Forecast

Despite that each sentence here contains something about Christmas, it is a solemn event that lifts up not only Christmas trees in the Europeans houses, but their currency as well. So, the forecast is UP.

We recommend you to use the following indicators for comfortable trading:

• RSI
• Bollinger lines

Positions: to keep the level of risk moderate, we recommend keeping four trades up and three trades down. And we'd love to have Santa Claus come and bring a bag of money to all of us this Christmas.