Daily Pivots: (S1) 117.94; (P) 118.44; (R1) 119.19; More…
EUR/JPY formed a temporary low at 117..67 with current recovery and intraday bias is turned neutral for consolidation. Upside of recovery should be limited by 120.05 support turned resistance fall resumption. On the downside, break of 117.67 will resume recent down trend to 114.84 support next.
In the bigger picture, down trend from 137.49 is still in progress. It’s seen as a falling leg of multi-year sideway pattern. Deeper fall could be seen to 109.48 (2016 low and below). On the upside, break of 127.50 resistance is needed to be the confirm medium term reversal. Otherwise, outlook will remain bearish in case of strong rebound.
