Daily Pivots: (S1) 125.90; (P) 126.28; (R1) 126.53; More….
EUR/JPY lost momentum ahead of 127.07 resistance, as seen in 4 hour MACD. Intraday bias is turned neutral first. On the upside, decisive break of 127.07 will resume whole rally from 114.42. Next target will be 128.67 medium term fibonacci level. On the upside, break of 125.13 resistance turned support will turn bias to the downside, to extend the consolidation form 127.07 with another falling leg.
In the bigger picture, rise from 114.42 is seen as a medium term rising leg inside a long term sideway pattern. Further rise is expected as long as 119.31 support holds. Break of 127.07 will target 61.8% retracement of 137.49 (2018 high) to 114.42 at 128.67 next. However, firm break of 119.31 will argue that the rise from 114.42 has completed and turn focus back to this low.
