FX.co ★ Technical analysis of EUR/JPY for May 25, 2016

Technical outlook and chart setups:

The EUR/JPY pair again gets into a sideways tight trading range between 122.25 and 122.80 levels for the recent 2 trading sessions. The pair is seen to be trading at 122.70 level at this moment and should be looking to print at least one low below 122.25 levels from here before pulling back. The wave structure indicates that the pair needs to break above 124.00 level to confirm that a meaningful bottom is formed and that the next big move is on the north side. It is recommended to take profits and exit on short positions for now. Immediate support is seen at 121.40 levels, while resistance is seen at 124.00/60 levels respectively.

Trading recommendations:

Take profits on short positions and remain flat for now.

Good luck!