Daily Pivots: (S1) 134.03; (P) 134.72; (R1) 136.04; More….
EUR/JPY recovers notably after dipping to 133.38, and drawing support from 134.11. Intraday bias is turned neutral first. Firm break of 135.85 will indicate short term bottoming and turn bias back tot he upside for stronger rebound. However, sustained break of 134.11 will carry larger bearish implications and target 161.8% projection of 144.26 to 136.85 from 142.31 at 130.32.
In the bigger picture, up trend from 114.42 (2020 low) is seen as the third leg of the pattern from 109.30 (2016 low). Further rally is in favor as long as 134.11 resistance turned support holds, even in case of deep pull back. Next target is 149.76 (2015 high). However, sustained break of 134.11 will be a sign of medium term bearish reversal and turn focus to 124.37 support for confirmation.
