EUR/JPY finished the week with a gain of 75 pips. The pair bottomed on Tuesday at 124.67 but then recovered and finished above 126.00. Price action remained limited during the week amid low volume and moved mostly sideways, around 126.00. EUR/JPY outlook In the short-term it is moving sideways, attempting to restart the recovery after falling early in March to the lowest level in almost three years. The area around 127.00 capped the upside. If the euro manages to break above, it could gain momentum and could rise to test a key medium-term dynamic resistance that is the downtrend line from 2014 highs, that currently stands around 130.00. On the opposite direction, a daily close significantly below 125.20 would expose 122.40. For more information, read our latest forex news.