FX.co ★ Technical analysis of EUR/JPY for January 21, 2014.

Technical outlook and chart setups:

1. The currency pair has finally entered into the counter trend rally mode from sub 140.00. Possible extension is towards 143.00/50 from here on. It would be recommended to initiate short positions at that level.

2. Immediate resistance is at 143.00 followed by 145.00/50, while support is spread through 140.20/30 (intermediary), followed by 138.20/30, and 134.00 respectively.

3. The entire structure reveals that resistance should be strong at 143.00/50 and a possible reversal from there could bring prices to 138.00 at least.

Trading recommendations:

Flat for now. Plan to enter short at 143.00/50.

Good luck!