The EUR/JPY pair is declining and should now be below the minor resistance at 126.75 to continue its movement towards the long-term target seen at 123.66.
In the short term, we see support near 125.88, which may make the first test for a corrective rally close to resistance at 126.75, and this rally will probably include another decline towards at least 125.20 and then towards the perfect target seen at 123.66.
R3: 126.75
R2: 126.25
R1: 125.92
Pivot: 125.62
S1: 125.31
S2: 125.20
S3: 124.89
Trading recommendation:
We are short from 128.05 and we will move our stop lower to 127.05.
