- EUR/JPY uptrend from 126 lows (Jan 21st) is stalling by strong trendline resistance at 132 levels.
- A clean break above is needed for further upside, but Techs are not providing much support, Stochs are in overbought territory, a reason for caution.
- Daily cloud (currently spanning between 132.26 and 133.20) weighs on the topside, also Doji formation seen at highs suggests some correction lower.
- Immediate support is seen by 131.25 (Feb 1st lows) and then 5-DMA at 130.75. On the other side resistance is seen at 132 (falling trendline) ahead of 132.26 (cloud base).
Recommendation: Good to sell rallies around 131.70/75, SL: 132.25, TP: 131/130.75
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