Daily Pivots: (S1) 142.92; (P) 143.67; (R1) 144.79; More….
EUR/JPY’s steep decline today and strong break of 141.36 confirms resumption of the decline from 145.55. The development also solidify the case that whole correction from 148.38 is in its third leg. Intraday bias is back on the downside for retesting 137.37 low, and then 135.40 fibonacci level. For now, risk will stay heavily on the downside as long as 141.36 resistance holds.
In the bigger picture, as long as 55 week EMA (now at 139.54) holds, larger up trend from 114.42 (2020 low) is still in progress for 149.76 long term resistance. However, firm break of 55 week EMA will bring deeper fall to 38.2% retracement of 114.42 to 148.38 at 135.40. Sustained break there will raise the chance of trend reversal, and target 61.8% retracement at 127.39.
