Technicals suggest the up move in the cross could lose momentum near 123.80, according to Karen Jones, Head of FICC Technical Analysis at Commerzbank.

“EUR/JPY has eroded the 20 day ma to extend its correction higher. Elliott wave counts are suggesting that this will fail around the 123.80 mark. Short term we continue to target the 119.91 78.6% Fibonacci retracement. Directly above lies lies the 123.75, May 21 high and the 55 day moving average at 123.98 – this maintains an overall negative bias”.