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FxWirePro: EUR/JPY inches closer towards 200-DMA, weaker German Retail sales data dent euro

Chart - Courtesy Trading View 

EUR/JPY was trading 0.50% lower on the day at 135.54 at around 11:10 GMT.

The pair extends weakness below 110-EMA, edges closer towards 200-DMA.

 Weaker than expected German Retail sales data dent the single currency, dragging the pair lower.

Data released by Destatis showed on Monday, Germany's Retail Sales dropped by -1.6% MoM in June versus 0.2% expected and 0.6% last.

On an annualized basis, German Retail Sales came in at -8.8% in June versus -8.0% expected and -3.6% booked in May.

Technical indicators for the pair are biased lower. Momentum is strongly bearish. Volatility is high.

Support levels:

S1: 134.33 (50% Fib)

S2: 133.68 (200-DMA)

Resistance levels:

R1: 136.68 (38.2% Fib)

R2: 137.25 (5-DMA)

Summary: EUR/JPY trades with a bearish bias. Scope for dip till 200-DMA at 133.68. 
 

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