EUR/JPY - Potential bearish breakout forming - 09/16/2020 (GMT)

On the daily chart, recent price action is showing lower highs forming on top of a support level around 124.43.

There is clear bearish divergence between price and the momentum indicator, showing signs of exhaustion.

The pattern being formed is also a "head & shoulders" setup.

An entry could be made just below the flat level around 124.3, with the stop-loss placed  behind the most recent obvious swing high around 126.57

(should a lower high be formed BEFORE breaking the flat level, then the stop-loss could be placed above that)

Partial profits should be taken at 1:1 to mitigate risk and there is a significant monthly S/R level at 123.00

A trailing stop-loss behind every two successive seller bars could allow for trapping profits and letting them run. 

Risk should be no more than 1% for this trade setup 0.5% is recommended.