EUR/JPY Price Analysis: Bearish moves remain supported near 134.40

• EUR/JPY fades part of the Friday’s advance and retests 135.00.
• Further decline is expected to meet support near 134.40.

EUR/JPY faces some downside pressure and gives away part of Friday’s gains, returning at the same time to the 135.00 region at the beginning of the week.

The underlying upside momentum in the cross remains unchanged for the time being, although further retracements are not ruled out in the near term. Against that, EUR/JPY is predicted to remain supported by the 134.40 region, where a Fibo level (of the March rally) is located.

In the meantime, while above the 200-day SMA at 130.11, the outlook for the cross is expected to remain constructive.

EUR/JPY daily chart