FX.co ★ Technical analysis of EUR/JPY for July 29, 2014

Technical outlook and chart setups:

1. The EUR/JPY pair needs to clear above 137.40 levels to reach 138.00 and higher as shown here. A failure ahead of 137.20 levels would bring the bears back in control. The intermediate trend looks down and hence rallies should be sold.

2. Support is at 136.20/30, 134.00 and lower while resistance is seen at 137.40, followed by 138.40 and higher up respectively.

3. The structure indicates that EUR/JPY needs to break above at least for an interim rally towards 138.40 if not higher.

Trading recommendations:

Exit long positions. Look to sell rallies.

Good luck!