The resistance line from 133.12 has once again rejected the rally in EUR/JPY and is pushing prices lower. However, we need a clear break below support at 127.80 to confirm the next decline towards 123.66 is developing.
The risk remains a break above resistance at 129.00 that will invalidate the bearish outlook and indicate a new rally towards 130.06 and 133.12.
R3: 130.13
R2: 129.23
R1: 129.06
Pivot: 128.90
S1: 128.40
S2: 128.00
S3: 127.74
Trading recommendation:
We are short EUR from 128.75 we will lower our stop+revers to 129.25.
The material has been provided by InstaForex Company - www.instaforex.com