EUR/JPY remains bid despite minor dip. Axel Rudolph, Senior FICC Technical Analyst at Commerzbank, expects the pair to advance nicely and eventually reach the 137.51 mark. Failure at the 129.69 55-day ma will be needed to further alleviate upside pressure.
EUR/JPY last week charted a 2-year high at 132.36, which has not been confirmed by the daily RSI. This reflects a loss of upside momentum and we would allow for a dip lower and some near term consolidation and we will attempt to buy the dips lower.
Ideally dips will be contained by the 6-month uptrend at 129.91. Uptrend support is reinforced by the 55-day ma at 129.69. While it holds, attention remains on the topside. Near term resistance lies at 133.13/48, these are the highs from April 2018 and September 2018. Our longer term target is the 137.51 2018 high.