Technical outlook and chart setups:
1. The EUR/JPY pair is seen to be bouncing off the trend line support as expected and seen here, from around the 139.00 levels. The pair is producing a bullish morning star candlestick signal as well. Recommendations are to remain long, risk remains below 138.00 levels.
2. Support is seen at 138.00, followed by 136.00, 134.00 and lower, while resistance remains at 141.00, followed by 142.50, 143.50/144.00 and 145.50 respectively.
3. The structure indicates that EUR/JPY could resume rally from current levels towards 142.50 levels before any meaningful correction.
Trading recommendations:
Remain long, stop below 138.00, target is open.
Good luck!
