EUR/JPY Technical Analysis: Next stop on the upside is at the 21-day SMA near 122.50

• The better tone around the shared currency is propping up the recovery in EUR/JPY from Monday’s lows in the 120.80/75 band, which has already left behind the key 121.00 handle.
• However, while below the short-term resistance line, today at 122.32, the likeliness for further retracements should remain on the cards with immediate target at recent lows near 120.80 ahead of YTD lows in sub-119.00 levels seen in early January.
• The continuation of the correction higher could extend to the 21-day SMA in the mid-122.00s ahead of mid-May peaks at 123.75.

EUR/JPY daily chart