Daily Pivots: (S1) 171.25; (P) 171.52; (R1) 171.92; More…
EUR/JPY is still bounded in sideway trading and intraday bias remains neutral. On the downside, break of 170.94 support will bring deeper fall to 169.69, or further to 38.2% retracement of 161.06 to 173.87 at 168.97. On the upside, above 172.99 will bring retest of 173.87 short term top.
In the bigger picture, considering current strong momentum as seen in the rally from 154.77, corrective pattern from 175.41 could have already completed. Decisive break of 154.77 will confirm long term up trend resumption. Next target is 61.8% projection of 124.37 to 175.41 from 154.77 at 186.31. However, rejection by 175.41, followed by firm break of 55 D EMA (now at 170.34) will delay this bullish case.
