Daily Pivots: (S1) 127.37; (P) 128.17; (R1) 128.59; More….
Intraday bias in EUR/JPY remains mildly on the downside for retesting 127.36 support. Firm break there will resume fall from 133.44 and larger pattern from 134.11. Next target is 126.58 medium term fibonacci level. On the upside, above 128.43 minor resistance will delay the bearish case and turn intraday bias neutral first.
In the bigger picture, as long as 38.2% retracement of 114.42 (2020 low) to 134.11 at 126.58 holds, up trend from 114.42 is still in favor to continue. Break of 134.11 will target long term resistance at 137.49 (2018 high). However, sustained break of 126.58 will raise the chance of medium term bearish reversal. In this case, deeper decline would be seen to 61.8% retracement at 121.94, and possibly below.
