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- EUR/JPY hits fresh daily highs at 123.77 as offered tone around the Yen increasing on renewed talks of a delay in the implementation of the sales tax hike by the Japanese government.
- The pair has broken 10-DMA at 123.07 and finds next major resistance at 124.22 (major trendline and 55-EMA).
- Markets focus on German flash CPI figures which are expected later during the European afternoon.
- Techs support upside in the pair, weakness only below 123 levels.
- Supports are located at 123.07 (10-DMA), 122.65 (session lows) and 122.21 (May 27th lows).
- Resistances are seen at 124.22 (trendline and 55-EMA), 124.65 (May 12th highs) and then 125.
Recommendation: Go long on dips around 123.50/60, SL: 123, TP: 124/124.20/124.65
