EUR/JPY Technical Analysis: Upside momentum stalled in the mid-121.00s

• The rally in EUR/JPY appears to have met important resistance in the 121.50 region, coincident with late July peaks. The ongoing correction lower comes in line with softness in EUR, some pick up in the demand for safe havens and recent overbought levels, as measured by the RSI.
• The continuation of the leg lower should meet initial support in the 100-day SMA in the 119.80 region ahead of the 55-day SMA, today at 118.43.
• The resumption of the up move is expected to target the key 200-day SMA at 122.23.

EUR/JPY daily chart