Daily Pivots: (S1) 121.59; (P) 121.72; (R1) 121.91; More….
EUR/JPY is staying in consolidation from 122.65 and intraday bias remains neutral. On the upside, break 122.65 will resume whole rally from 115.86 and target medium term channel resistance (now at 124.26). However, break of 119.99 cluster support (38.2% retracement of 115.86 to 122.65 at 120.05) will argue that rise from 115.86 has completed. Deeper fall would be seen to 61.8% retracement at 118.45.
In the bigger picture, EUR/JPY is still staying in the falling channel established since 137.49 (2018 high). Rise from 115.86 is seen as a corrective rise for the moment. Strong resistance could be seen at falling channel resistance to limit upside. However, sustained break of the channel resistance will carry larger bullish implication and target 127.50 key resistance next.
