By | June 19 2010 9:55 AM

EUR/JPY edged higher to 113.30 last week but lost momentum ahead of 114.13 resistance and turned sideway. Initial bias is neutral this week and some more sideway trading might be seen first. On the downside, break of 110.85 minor support will indicate that recovery from 108.06 is finished and will flip bias back to the downside for retesting this low. Break will confirm down trend resumption for 61.8% projection of 169.96 to 112.10 from 139.21 at 103.45 next. On the upside, in case of another rise, upside should be limited by mentioned 114.13 and bring fall resumption. However, strong break of 114.13 will confirm that EUR/JPY has already formed a short term bottom and should bring stronger rise towards 55 days EMA (now at 116.19) next.