EUR/JPY Technical Analysis: stays downside corrective after failing at the 200-day SMA near 132.00.

• EUR/JPY continues to drift lower after being rejected from the 132.00 neighbourhood earlier in the week, where sits the critical 200-day SMA.
• Some consolidation ahead of further gains is not ruled out following the July rally.
• The bullish tone in the cross is poised to remain unchanged while above the daily cloud and June’s tops in the 130.40 region. This area appears reinforced by the short-term support line and the top of the cloud in the 128.80 region.
• On the daily RSI, the cross has receded to the 60 region after flirting with overbought levels in past sessions, while the daily ADX highlights a weak trend.

EUR/JPY daily chart

Daily high: 131.45

Daily low: 130.91

Support Levels

S1: 130.91

S2: 130.44

S3: 130.00

Resistance Levels

R1: 131.82

R2: 132.26

R3: 132.73