Daily Pivots: (S1) 129.74; (P) 130.23; (R1) 130.50; More….
Intraday bias in EUR/JPY is back on the downside as fall from 133.13 resumed after brief recovery. Such decline is seen as another falling leg of the corrective pattern from 134.11. Break of 128.23 support will target 127.36 low and below. For now, risk will stay on the downside as long as 130.03 support turned resistance holds, in case of recovery.
In the bigger picture, price actions from 134.11 are currently seen as a consolidation pattern only. 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 bearish reversal. In this case, deeper decline would be seen to 61.8% retracement at 121.94, and possibly below.
