Daily Pivots: (S1) 118.07; (P) 118.60; (R1) 118.92; More…
EUR/JPY drops further to as low as 117.67 so far today and intraday bias remains on the downside. Next downside target is 161.8% projection of 123.35 to 120.05 from 121.37 at 116.03. On the upside, above 118.92 minor resistance will turn intraday bias neutral and bring consolidations. But recovery should be limited by 120.05 support turned resistance to bring fall resumption.
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.
