Daily Pivots: (S1) 132.09; (P) 132.33; (R1) 132.55; More….
Intraday bias in EUR/JPY remains neutral as focus stays on 132.63 resistance. Firm break there would indicate that corrective fall from 134.11 has completed and bring retest of this high. On the downside, break of 131.21 minor support will extend the correction with another fall through 130.02 low. But we’d expect strong support from 38.2% retracement of 121.63 to 134.11 at 129.34 to bring rebound.
In the bigger picture, rise from 114.42 is seen as a medium term rising leg inside a long term sideway pattern. Next target is 137.49 (2018 high). Decisive break there will open up the possibility that it’s indeed resuming the up trend from 94.11 (2012 low). For now, outlook will stay bullish as long as 127.07 resistance turned support holds, in case of pull back.
