EUR/JPY’s Corrective Drop
Trading of the cross stays neutral. Sustained breach of 134.97 will prolong medium term rally and align 61.8% projection of 114.84 to 134.39 from 132.04 at 144.12. Following pivot points include: (S1) 134.51; (P) 134.74 (R1) 135.03.
Further corrective drop is expected. If 132.04 support is present, short term prognosis remains bullish.
A medium term growth from 109.03 has hit the 61.8% retracement of 149.76 to 109.03 at 134.20. Firm breach in that spot will head towards the key long term resistance zone of 141.04/149.76. Breach of 132.04 support will indicate medium term reversal. Prognosis will become bearish towards larger decline for 127.82 (55 day EMA).