EUR/JPY remains locked in a narrow trading-range between 125.32 - 125.95. Ultimately a break above resistance at 125.95 is expected, for a continuation higher towards 128.31 and 129.46 on the way towards the 161.8% extension target, for wave iii, at 133.54.
We expect solid support at 125.32 will continue to protect the downside for the break above 125.95 that will pave the way for the next impulsive rally.
R3: 127.03
R2: 126.53
R1: 125.95
Pivot: 125.32
S1: 124.74
S2: 124.15
S3: 123.90
Trading recommendation:
We are long EUR from 124.65 with our stop placed at break-even at 124.65.
