EUR/JPY Is Consolidating

EUR/JPY has been stuck in a relatively wide sideways consolidation since the beginning of July between 131.70 and 127.55 and although the pair is currently quite bearish that consolidation continues. EUR/JPY bounced off from the aforementioned resistance at 131.70 after forming a shooting star candlestick and a spinning stop candlestick on the daily time-frame and fell sharply. It is now testing the support at 129.60. A breakout below that level will probably lead to a further move downside towards the last low 127.50 which will probably also coincide with the (MA)89 indicator on the daily time-frame. A breakout below that support as well could be a signal for another drop to 127.00 and a likely end of the consolidation.