EUR/JPY Daily Outlook

Daily Pivots: (S1) 120.19; (P) 120.73; (R1) 121.03; More….

EUR/JPY reaches as low as 119.93 so far as fall from 122.87 extends. Break of 120.17 support indicates completion of completion of corrective rise from 115.86, on bearish divergence condition in daily MACD. Further fall should be seen to retest 115.86 low. On the upside, above 121.26 minor resistance will turn intraday bias neutral first. But risk will now stay on the downside as long as 122.87 resistance holds, in case of recovery.

In the bigger picture, EUR/JPY is still staying in the falling channel established since 137.49 (2018 high). Rise from 115.86 is seen as a corrective rise. Strong resistance could be seen at falling channel resistance to limit upside. However, sustained break of the channel resistance will carry larger bullish implication and target 127.50 key resistance next.