FXstreet.com (London) - Karen Jones, Head of FICC Technical Analysis at Commerzbank said EUR/JPY is eroding uptrend support at 130.12.

Key Quotes:

“EUR/JPY’s new high of 132.75 last week was accompanied by a divergence of the daily RSI and the market has failed ahead of the 133.82 May”.

“The 8 month uptrend at 130.12 is being eroded and this targets the base of the cloud at 128.75 and then the 124.94 June low”.

“Intraday rallies are likely to see initial resistance at 131.10 ahead of 132.75 and 133.82”.

“Shorter term (1-3 weeks): Neutral to positive to the 133.82 May high. Medium term (1-3 months): Neutral”