FXStreet reports that the Credit Suisse analyst team notes that EUR/JPY is holding its key 200-day moving average (DMA) now at 129.56 and suggests that the pair is set to look for an important floor here and a move back to retest key resistance at 130.75/131.10.

“Our bias remains to look for an important floor at the key 129.56 200-DMA and for a fresh move higher again to emerge. Immediate resistance is seen at 130.28, above which is needed to add weight to our view to clear the way for a move back to retest key resistance from the 50% retracement of the June/August fall, early September high and mid-July high and downtrend from early June at 130.75/131.10.”

“Above 130.75/131.10 would now see a ‘head and shoulders’ base established to mark a more important turn higher.” 

“Support moves to 129.84/80 initially.”