EUR/JPY: 115.75 on the cards? - FXStreet

Valeria Bednarik, chief analyst at FXStreet explained that the EUR/JPY pair edged lower this Tuesday, as the Japanese yen kept consolidating against most of its rivals, whilst the common currency lost ground amid poor local data.

Key Quotes:

"Having traded as high as 118.39 late Monday, the pair retreated back below the 117.00, unable to settle above the 61.8% retracement of its latest daily slump, at 117.20, but holding around it. The short term picture favors a downward extension, as in the 1 hour chart, the price is now below its 100 SMA, whilst the technical indicators entered negative territory, with limited downward strength at the time being."

"In the 4 hours chart, the price holds above a bearish 200 SMA, currently at 116.60, the immediate support, whilst the RSI indicator heads lower around 53, suggesting a break below the mentioned SMA could see the price falling down to 115.75, the 50% retracement of the same decline."