BIAS: The break of 130.20-34 and the expected weakness in USDJPY should see losses overall
MAIN ANALYSIS: The 130.20-34 area (and at 130.16) looked as if it would see the follow-through higher. However, with USDJPY breaking supports this has turned round to a more direct decline. As today begins we should see the 130.15-30 area cap (allow for 130.50.) From here we should see losses resume to reach the 128.79-96 area for a shallow correction and then a target around 128.30-40. Take care here as I suspect a relatively deep correction.
COUNTER ANALYSIS: Only a break below 130.60 would take price back to the 131.40-50 area…
MEDIUM TERM ANALYSIS:
27th March: Yesterday's losses, fuelled by USDJPY, should now see firmer moves down to 128.30-40 initially but later the overall losses should move down to 123.58 at least - potentially lower. As the lower degree development solidifies I should be able to fine-tune the target.