Daily Pivots: (S1) 131.59; (P) 131.81; (R1) 132.15; More….
Intraday bias in EUR/JPY remains neutral first. Some consolidations could be seen below 132.11 temporary top. But downside should be contained well above 128.23 support to bring another rally. As noted before, corrective pattern from 134.11 should have completed three waves down to 127.36. Above 132.11 will bring retest of 133.44/134.11 resistance zone. Decisive break there will resume larger up trend from 114.42.
In the bigger picture, price actions from 134.11 are currently seen as a consolidation pattern only. 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 bearish reversal. In this case, deeper decline would be seen to 61.8% retracement at 121.94, and possibly below.
