EUR/JPY: testing key resistance here at 124.80

Currently, EUR/JPY is trading at 124.77, up 0.74% on the day, having posted a daily high at 124.93 and low at 123.67.

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EUR/JPY has been making good ground at the start of this week with Wall Street performing well as WTI notched up around 3% to $49.66 the high vs previous close of 47.84. The move in the cross, however, started earlier with the euro attacking the 1.10 handle overnight while USD/JPY played catch up and turned better bid through the 10 4hr sma at 113.44 that went on to break the 20 sma on the same time frame at 113.72, capped at 113.82 the high. 

EUR/JPY levels

EUR/JPY near term outlook is easing back from its long-term Fibonacci resistance, explained analysts at Commerzbank. "Dips lower are indicated to hold circa 122.80/121.60 and the market should recover from here. We suspect the dip lower will be shallow and will reattempt long positions at market," adding, "longer term outlook is neutral to positive: 2015-2017 downtrend eroded, targets the 129.55/130.92 50% retracement and the 200-week ma."