Rejection in EUR/JPY
The cross aligned the support turned resistance of 128.94. Sustained breach in that area will point out that the decline from 137.49 has concluded at 124.61, while moving towards the key support of 124.08. That, in turn, will confirm correction and extension of bigger rally. Following pivot points include: (S1) 128.06; (P) 128.38; (R1) 128.98.
Another surge will align 133.47 resistance. Under the minor support of 127.17, a rejection from 128.94 will be seen and EUR/JPY will head towards repeat test of 124.61 level.
A medium term trend reversal is possible, considering bearish divergence in daily MACD and actual decisive downside impulse. Strong breach of 38.2% retracement of 109.03 to 137.49 at 126.61 indicates that the intact uptrend from 109.03 has ended at 137.49. Larger fall is expected to align 61.8% retracement at 119.90 and lower.