EUR/JPY near-term outlook remains positive - Commerzbank

Analysts at Commerzbank noted that EUR/JPY has reached the 2015-2017 downtrend at 122.60 and the 3-month downtrend at 122.74.

Key Quotes:

"EUR/JPY near-term outlook – Positive."

"EUR/JPY has reached the 2015-2017 downtrend at 122.60 and the 3-month downtrend at 122.74. These are currently being probed and offer pretty tough resistance for the market and may well hold the initial test."

"We look for dips lower to remain shallow however and the market should remain well supported circa the 55-day ma at 121.30."

"Longer term outlook is positive: Above the 4-month downtrend lies another downtrend at 124.03 and the 124.08 December high Where are we wrong? Below 118.25 lies the 117.57 200 day ma and the 116.69/37 50% retracement."