EUR/JPY Price Analysis: Extra downside on the cards

• EUR/JPY extends the bearish momentum and approaches 117.00.
• The next target now emerges at the YTD lows in the vicinity of 116.00.

Following last week’s tops beyond 121.00, EUR/JPY came under increasing selling pressure and is now flirting with a potential test of the 117.00 neighbourhood.

If the selling impetus picks up pace, then there are no relevant support levels until the 2020 low at 116.11 recorded in early March.

Looking at the broader picture, while below the key 200-day SMA at 119.94, the cross should keep the negative stance unaltered. A more serious rally is expected to re-visit the 121.00 barrier and above.

EUR/JPY daily chart