Daily Pivots: (S1) 127.60; (P) 127.92; (R1) 128.21; More….
Intraday bias in EUR/JPY is neutral for the moment, but further decline is expected as long as 129.58 resistance holds. Break of 127.47 will target 126.58 medium term fibonacci level next. On the upside, however, break of 129.58 resistance will indicate short term bottoming, and turn bias back to the upside for rebound back to 55 day EMA (now at 130.02) first.
In the bigger picture, as long as 38.2% retracement of 114.42 (2020 low) to 134.11 at 126.58 holds, up trend from 114.42 is still in favor to continue. Break of 134.11 will target long term resistance at 137.49 (2018 high). However, sustained break of 126.58 will raise the chance of medium term bearish reversal. In this case, deeper decline would be seen to 61.8% retracement at 121.94, and possibly below.