Daily Pivots: (S1) 122.83; (P) 123.35; (R1) 124.18; More….
Intraday bias in EUR/JPY remains mildly on the upside as rebound from 118.62 is extending. Strong resistance should be see around 124.61 key resistance to limit upside. On the downside, break of 121.80 minor support will turn bias back to the downside for retesting 118.62 low first. Overall, larger down trend is expected to resume later after the consolidation completes.
In the bigger picture, medium term rebound from 109.03 (2016 low) has completed at 137.49 already, with corrective structure. Fall from 137.39 is seen as a medium term fall, resuming the decline from 149.76 (2014 high). Such decline should break through 109.03 low next. This will remain the preferred case as long as 124.61 support turned resistance holds. Sustained break of 124.61 will mix up the outlook and we’ll reassess on the final structure of the rebound from 118.62.
