Technical outlook and chart setups:
The EUR/JPY pair has reversed lower from 128.25 as expected, and now it is trading at 127.00. Bears should remain in control until prices stay below 128.25. Also please note that the pair has been following resistance trend line, and still remains its sell zone (south of the trend line). Furthermore, the pair has reversed lower from Fibonacci 50% retracement (128.25/30) of a drop between 130.25 and 125.75. It is hence recommended to remain short with risk above 128.30. Immediate support is seen at 126.25, while resistance is seen at 128.30 . The pair seems to be heading towards fresh swing lows.
Remain short with stop at 128.50/129.00,a target is open.