EUR/JPY has been trapped in a trading range since mid-January, where the cross traded near 125.00. We are still looking for a deeper correction closer to 123.65 and ideally down to 120.95 as long as key-resistance at 126.18 is able to cap the upside.
Short-term a break below 124.45 would confirm more downside pressure towards 123.65 and below.
Only an unexpected break above 126.18 will shift the bias back towards the upside for a rally to 127.50 and above.
R3: 126.18
R2: 125.75
R1: 125.43
Pivot: 124.92
S1: 124.45
S2: 124.17
S3: 123.65
Trading recommendation:
We are short EUR from 124.25 with our stop placed at 126.20
The material has been provided by InstaForex Company - www.instaforex.com