- EUR / JPY extends the pullback and revisits 130.00.
- The 55-day moving average reinforces this area of contention.
The EUR/JPY It extends the corrective retracement for the second consecutive session and falls to 130.00 this Thursday.
The cross thus breaks below the consolidation of several sessions and meets the initial containment around the psychological zone of 130.00. This support is now reinforced by the 55-day moving average, just pips below 130.00. A deeper pullback carries the potential to expose another visit to the 129.50 area, where it coincides with the 200, 20-day moving averages and a Fibonacci level (from the June-August dip).
Above the 200-day SMA (129.46), the outlook for EUR / JPY is expected to remain constructive.