The EUR/JPY currency exchange rate has declined below the support of the 128.00 mark. In addition, on Monday morning, the pair confirmed the 128.00 level as resistance. Meanwhile, the 127.50 level provided support. Moreover, note that the rate has been declining in a channel down pattern since November 25.
If the rate continues to decline, it would look for support in the combination of the 127.50 mark and the weekly S1 simple pivot point at 127.53. Below these levels, the lower trend line of the channel down pattern might provide support.
On the other hand, a potential recovery would face the resistance of the 128.00 level. Above this level, the upper trend line of the channel down might act as resistance.
