EUR/JPY Technical Analysis: Breakdown of 129.05 should expose June’s low around 126.60

• After bottoming out in the mid-128.00s on Monday, EUR/JPY is now finding some buying interest along with the better tone surrounding the single currency.
• The cross has recently broken below the key support in the 129.00 region, coincident with late July low and the top of the daily cloud, leaving the door open for a continuation of the move lower. The break below the short term support (now resistance) line also reinforces the idea of further pullbacks ahead.
• The cross needs to regain, initially, the 130.40 region to allow a test of the interim hurdle in the 131.15 area ahead of July’s peak just above 132.00 the figure.

EUR/JPY daily chart

Daily high: 129.01

Daily low: 128.58

Support Levels

S1: 128.50

S2: 128.29

S3: 128.09

Resistance Levels

R1: 128.91

R2: 129.11

R3: 129.32