Daily Pivots: (S1) 128.11; (P) 128.59; (R1) 129.32; More….
EUR/JPY’s strong rebound from 127.85 argues that fall from 130.86 might be completed. And, the three wave corrective structure in turn suggests that rise from 124.89 is still in progress. On the upside, break of 129.97 will target 130.86 first. Break will confirm this bullish case and target key fibonacci resistance at 132.56. On the downside, though, break of 127.85 will extend the fall from 130.86 instead.
In the bigger picture, as long as 124.08 key resistance turned support, larger up trend from 109.03 (2016 low) remains in favor to continue. Decisive break of 61.8% retracement of 137.49 to 124.61 at 132.56 will pave the way to retest 137.49 high. However, firm break of 124.08 will argue that whole rise from 109.03 (2016 low) has completed at 137.49. Deeper decline would be seen to 61.8% retracement of 109.03 to 137.49 at 119.90 next.