EUR/JPY Price Analysis: Gains capped near 130.70

• EUR/JPY extends the choppy mood always above 130.00.
• Further consolidation remains in the pipeline near term.

EUR/JPY reverses two consecutive daily advances and trades on the defensive within the familiar range midweek.

In light of the ongoing erratic price action, it seems further consolidation remains well in place, at least in the very near term. The resumption of the uptrend, as usual, targets the low-131.00s, area coincident with the mid-July tops, the 100-day SMA and a Fibo level (of the June-August drop).

Above the 200-day SMA (129.44), the outlook for EUR/JPY is expected to remain constructive.

EUR/JPY daily chart