EUR/JPY Price Analysis: Extra losses not ruled out
|- EUR/JPY bounces off recent lows in the 128.20 region on Wednesday.
- The cross could still attempt a move to the December 2021 low (127.50).
EUR/JPY seems to have met some dip buyers in the 128.20 region (January 25).
Price action in the cross keeps signalling a scenario of lower prices for the time being. Indeed, EUR/JPY accelerated the losses following the convincing breakdown of the key 200-day SMA (130.50) in past sessions, opening the door to a potential drop to the December 2021 low near 127.50 (December 3).
While below the 200-day SMA, the outlook for the cross is expected to remain negative.
EUR/JPY daily chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.