EUR/JPY 4H Chart: Channel Down

Despite the fact that the Euro is willing to depreciate against the Japanese Yen within current bearish channel, there is a dense support area at 130.49/129.67 ready to limit any bearish attempts. The most difficult task for the bears is going to be penetration of both 200 and 55-period SMAs and the monthly pivot point below 130. However, in case EUR/JPY accomplishes this goal, the next demand will be offered by 100-period SMA at 129, followed by the first monthly support at 127.46. This idea is backed by 4H and weekly technical indicators in time when the SWFX market sentiment (55%) gives no clear indications. Meanwhile, any spike beyond 132 will expose the monthly R1 at 133.71.