EUR/JPY has finally broken clearly above the resistance area between 127.09 - 127.49 indicating more upside pressure towards the next upside target at 129.06 and ultimately above here to for much higher levels. That said, resistance seen at 129.06 likely will be a tough nut to crack.
Support is now seen at 129.49 and again at 127.12. We expect the later to be able to protect the downside as EUR/JPY continues higher towards 1279.06.
R3: 128.55
R2: 128.25
R1: 127.72
Pivot: 127,49
S1: 127.12
S2: 127.05
S3: 126.90
Trading recommendation:
We are long EUR from 125.85 and we will move our stop higher to 126.90
