EUR/JPY to extend the rebound further towards the 130.30/56 resistance zone – Credit Suisse

EUR/JPY has extended its rebound from 127.88 for a break above the downtrend from June, 200-day average (DMA) and price resistance at 129.14/24. The pair is set to see a deeper recovery to the 130.30/56 region, analysts at Credit Suisse report.

See: EUR/JPY to rise toward the 130.55 July high on a close above downtrend at 129.51 – Commerzbank

Support is seen at 128.59

“Resistance is seen at 129.82 next and then more importantly at 130.30/56 – the 38.2% retracement of the June/August fall, 55-DMA and late July high. We look for this to prove a much tougher barrier and we look for a fresh top here.” 

“Near-term support moves to 129.16/13, with a break below 128.59 needed to reassert a bearish tone again for 128.24 and then a retest of 127.94/88.”