FxWirePro: EUR/JPY edges lower from session highs at 117.41, further weakness on charts

EUR/JPY chart - Trading View 

EUR/JPY was trading 0.10% lower on the day at 116.84 at around 06:30 GMT, further weakness on charts.

The single currency found some support amid a turnaround in the global risk sentiment.

EUR/JPY edged higher to hit session highs above 5-DMA at 117.41, but soon erased gains to retrace below 117 handle.

Technical studies support downside in the pair. Scope for test of major trendline support at 116.

Major and minor trend in the pair are strongly bearish as evidenced by GMMA indicator. Volatility is also rising which will aid downside drag.

Eurozone Inflation and the coronavirus updates will be the key to watch for further impetus. 

Break below 116 will open downside, while break above 21-EMA required for change in near-term dynamics.

Support levels - 116 (trendline support), 115.86 (Sept 2019 low), 114.85 (Apr 2017 low)

Resistance levels - 117.25 (5-DMA), 118.09 (21-EMA), 118.64 (Daily cloud)