Technical outlook and chart setups:
The EUR/JPY pair is testing the resistance trend line around the levels of 133.00/10 for the third time in last few trading sessions. Prices had bounced from the Fibonacci 0.382 support level at 132.50 earlier, but resistance is faced at 133.50. A drop below 132.50 is required to confirm that prices have started moving towards a larger trend and that a meaningful top is in place at 134.50. It is hence recommended to remain short with risk at 134.80. Immediate support is seen at 132.50 followed by 131.00 and lower, while resistance is seen at 134.00 followed by 134.50 and higher.
Trading recommendations:
Remain short with stop at 134.80, a target is 131.00.
Good luck!
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