FX.co ★ Technical analysis of EUR/JPY for January 16, 2014.

Technical outlook and chart setups:

1. EUR/JPY has rallied through the fibonacci 0.382 resistance at 142.90, as seen here. It is recommended to hold long positions for now and move risk to break even. A push through 142.90 should see 143.50/70, the fibonacci 0.618 resistance.

2. Immediate resistance is at 145.50, while supports are spread through 140.50 (intermediary), followed by 138.50, 134.50 and lower respectively.

3. The structure reveals that a failure below 144.00 levels, should see the down swing continue towards atleast 137.00. A sustained break above 144.00 levels would nullify the bearish tone.

Trading recommendations:

Hold long positions, move stop to breakeven levels. A bearish bounce at 143.50/70 should be sold.

Good luck!