EUR/JPY rose today to the highest level since May 23 at 132.60. The outlook for the pair seems positive as long as the pair trades above the 129.80 (the uptrend support line from November 2012). The next target on the upside lies at 133.80 (May high).
If the single currency breaks below the support line, there will be some further support at 129.35 and 128.75 (top and bottom of the daily Cloud) ahead of June low at 124.95.
Commerzbank: “Shorter term (1-3 weeks): neutral to positive to the 133.80 May high. Medium term (1-3 months): neutral.”
There’s a small divergence on H4 chart, so there might be a chance to buy on the dips.
Chart. Daily EUR/JPY