I’d like to stress the for now bit as I certainly do not believe that the big down move is over, far from it.
I think that this retracement off the 113 lows has room for one exhaustive spike higher towards 150. Most traders running short positions are not happy to take that much loss and they will start covering if the market starts gapping higher. On the other hand, traders running long positions will have fairly tight trailing stops as they have experienced the ferocity of down trend and will not want to be caught if it re-ignites.
The medium term market is heading towards its recent highs at 137+ so I am not going to jump into a long trade right here. Buying short term dips with tight stops, perhaps. Selling major rallies with wide stops looking for a resumption of the long term downtrend, absolutely.
Summarising: EUR/JPY is forming a base at 125 for an exhaustive spike higher to 150. The short term moves are probably going to be too hard to play so get ready to be patient and get ready for some serious short-term volatility. Looks like a perfect market for an exotic-option play.