The common European currency has been appreciating against the Japanese Yen after the currency pair reversed from the lower boundary of a dominant descending channel at 126.69.
Currently, the exchange rate is trading near the upper border of the dominant channel; at 128.95 and could be set for a breakout.
If this breakout occurs, the next target for the currency exchange rate will be at a swing high of 130.17.
However, if the resistance level formed by the upper boundary of the channel holds, the EUR/JPY exchange rate could aim at a support line formed by the weekly PP at 128.50 within this session.
