EUR/JPY extends range trade between 128.75/35, the pair has been trading a falling wedge pattern, and scope builds for further downside.
- We see Stochs have approached overbought territory on daily charts and have edged lower, RSI also points south.
- 128.75 (Jan 14 highs) is strong resistance on the upside, while 127.35 (Jan 18th lows) is strong support on the downside.
- Bearish invalidation only on breaks above 128.75, gains upto 130.11 then possible.
Recommendation: Good to sell EUR/JPY rallies around 128.50, SL: 129, TP: 127.80/50
