Technical outlook and chart setups:

The EUR/JPY pair has taken out another stop at the 128.00 level, made low at the 127.63 level and pulled back sharply through the 129.00 level. The 4H chart is indicating a potential reversal from current levels, that could possibly extend through 137.50 level at least. It is still recommended to initiate 50% long positions at the current price (128.80/90) with risk at the level of 127.25. Immediate support is seen at 127.60 (interim) followed by 125.00 while resistance is seen through 130.00, followed by 132.00, 133.50/134, 137.50, and higher respectively.

Trading recommendations:

Initiate 50% long positions, stop at 127.25, target is 137.50.

Good luck!