EUR/JPY Technical Analysis: Current squeeze higher could reach the 55-day SMA at 128.97 ahead of 129.08

• The cross is prolonging its rebound from last week’s lows in the 125.00 neighbourhood, regaining more than 3 cents and poised for a potential test of the 129.00 region.
• Immediate target for the up move in EUR/JPY is now the base of the daily cloud in the mid-128.00s ahead of the 55-day SMA at 128.97. If cleared, July’s 27 low at 129.08 should come to the fore.
• Further north, a move above the 131.10/40 band, where converge late July peaks and the 200-day SMA should open the door to a visit to July’s top just beyond 132.00 the figure.

EUR/JPY daily chart

Daily high: 128.17

Daily low: 127.34

Support Levels

S1: 126.57

S2: 125.51

S3: 124.76

Resistance Levels

R1: 128.38

R2: 129.14

R3: 130.20