EUR/JPY was rejected from the key-resistance at 127.03 indicating a correction to 125.92 before renewed upside pressure towards 127.03 and above here will call for a continuation higher towards 129.24 and ideally closer to the next major upside target at 135.46.
Short-term we see support at 125.92 and key-support at 125.56, which need to act as a floor or a second dip to 125.06 should be expected before the next rally is seen.
R3: 128.25
R2: 127.72
R1: 127.03
Pivot: 126.58
S1: 125.92
S2: 125.56
S3: 125.24
Trading recommendation:
We are long EUR from 125.85 with our stop placed at 125.50
