Technical outlook and chart setups:
The EUR/JPY pair is seen to be looking to break above 133.00/10 levels soon, but 131.50 levels should hold. As seen on the daily chart depicted here, the pair had produced an engulfing bullish candlestick pattern on October 29, 2015, which is still holding good. The signal is more significant since it has appeared at a fibonacci 0.618 support. It is hence recommended to remain long for now, with risk at 131.40 levels. Immediate support is seen at 131.40/50 levels (interim), followed by 130.00 and lower while resistance is seen at 137.00 levels and higher respectively.
Trading recommendations:
Remain long now, stop below 131.50, a target is open.
Good luck!
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