EURJPY- While the cross may be vulnerable to the downside on corrective weakness, as long as it can hold above the 118.73 level, the risk is for it to return to the 126.03 level in the medium term. This could pave the way for a run at the 127.70 level. A loss of here will pave the way for a run at the 128.00 level followed by the 128.50 level and then the 129.00 level. Despite its bear threats, its broader medium term bias remains higher. On the downside, the risk to this analysis will be for EURJPY to return to the 118.73 level, a tough call at its present price levels. Further down, support lies at its .382 Fib Ret at 117.48 level. We expect here to hold and turn the cross higher. All in all, the cross remains biased to the upside in the medium term though corrective risks.
