FxWirePro: EUR/JPY finds strong support at 20-DMA, eyes channel top at 126.20

• EUR/JPY trades with a bullish bias, finds strong support at 20-DMA at 123.97.
   
• The pair is trading in a rising channel and we see scope for upside on daily charts.
   
• Momentum studies are bullish, bulls now target channel top at 126.20. 
   
• Violation at channel top could see test of 61.8% Fib of 141.05 to 109.20 fall at 128.88.
   
• Data released earlier today showed German Ifo June expectations index rose better than expected to 106.8 from 106.5 in the previous month.
   
• German Ifo June current conditions index also rose to 124.1 beating forecasts at 123.3 and compared to a revised 123.3 in the previous month.
   

Support levels - 124.39 (5-DMA), 123.97 (20-DMA), 123.11 (50-DMA)

Resistance levels - 125, 125.31 (June 2nd high), 125.80 (May 25 high), 126.25 (channel top)

Recommendation: Good to go long on dips around 124.65/75, SL: 124, TP: 125/ 125.30/ 125.80/ 125.25

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