EUR/JPY Technical Analysis: Pullback from channel resistance highlights 125.50 support

• EUR/JPY trades a shade lower than 126.00 during initial Asian trading on Tuesday.
• The pair took a U-turn from an upward sloping trend-channel formation connecting the lows marked since mid-January.
• With the gradually declining 14-bar relative strength index (RSI), 125.50 level comprising an immediate ascending support-line that joins the lows of February 19 and 22 gains market attention.
• Should the pair drops under 125.50, 61.8% Fibonacci retracement of mid-December to early-January, at 125.15, followed by 124.70, can please the sellers.
• However, the channel-support figure of 124.30 might confine the pair’s downside past-124.70, if not then 123.70 and 123.40 could become bears’ favorites.
• On the flip side, an uptick beyond 126.40 channel resistance can trigger the pair’s recovery toward 127.00 – 127.10 horizontal region comprising late-December highs.
• If at all buyers refrain to respect 127.10, 127.70 and 128.40 are likely following numbers to appear on the chart.

EUR/JPY 4-Hour chart