EUR/JPY Price Analysis: The 129.50 area emerges as initial support

• EUR/JPY adds to Wednesday’s losses and revisits the 129.50 area.
• The mid-130.00s still cap the upside for the time being.

EUR/JPY recedes to the mid-129.00s, or multi-day lows, following Wednesday’s rejection from the 130.50 area.

The break below 129.50, where the 20- and 55-day SMAs coincide, should allow for a move further south to the Fibo level at 129.39 ahead of the minor support at the 10-day SMA at 129.22.

While the cross flirts with the key 200-day SMA (129.69) , a sustainable move below this level should shift the outlook to negative in the short-term horizon.

EUR/JPY daily chart