Daily Pivots: (S1) 121.43; (P) 121.86; (R1) 122.15; More….
Intraday bias in EUR/JPY remains on the downside at this point. Corrective recovery from 120.78 should have completed at 123.18 already. Deeper fall should be seen to 120.78 low first. Break will resume larger fall from 127.50 and target 118.62 low next. On the upside, above 122.17 minor resistance delay the bearish case, turn intraday bias neutral and bring more consolidations first.
In the bigger picture, down trend from 137.49 is still in progress with the cross staying inside long term falling channel. Break of 118.62 will extend the fall to 109.48 (2016 low). On the upside, break of 127.50 resistance is needed to be the first sign of medium term reversal. Otherwise, outlook will remain bearish in case of strong rebound.
