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Technical outlook and chart setups:
1. The EUR/JPY pair seems to be testing its lower support range around sub 140.00 levels at the moment. A break below 140.00 could confirm that the pair is in control of bears and would continue drifting lower, unfolding a larger correction. Recommendations are to remain flat for now and watch out for the reaction at 140.00 levels.
2. Support is at 140.00, followed by 138.50, 136.00 and lower while resistance is at 142.50, 143.50/70. 144.00 and 145.50 respectively.
3. The structure indicates that EUR/JPY could turn bullish only if the 140.00 level persists, and the pair could rally again up to 143.00 levels at least.
Trading recommendations:
Remain flat for now.
Good luck!
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