EUR/JPY’s up trend resumed last week and surged to as high as 132.35. As a temporary top was formed there with subsequent retreat. Initial bias is neutral this week for some consolidations first. Downside of retreat should be contained well above 129.57 support to bring rise resumption. On the up side, break of 132.35 will target 100% projection of 114.42 to 127.07 from 121.63 at 134.28.
In the bigger picture, rise from 114.42 is seen as a medium term rising leg inside a long term sideway pattern. Further rise is expected as long as 127.07 resistance turned support holds. Next target is 137.49 (2018 high). Decisive break there will open up the possibility that it’s indeed resuming the up trend from 94.11 (2012 low).
In the long term picture, EUR/JPY is staying in long term sideway pattern, established since 2000. Another rising leg in progress for 137.49 resistance and above.