FxWirePro: EUR/JPY trades directionless around 129 handle, long upper wicks raise scope for downside
EUR/JPY chart - Trading View
EUR/JPY was trading largely muted, marginally down by 0.03% at 129.02 at around 05:25 GMT.
The pair is trading flat for the 4th straight session, technical indicators do not provide a clear directional bias.
That said, long upper wicks on the daily candles raise scope for some downside in the pair.
Price action is moving away from upper Bollinger band and slight bearish divergence on RSI and Stochs adds to the bearish pressure.
Downside for the pair will likely gather pace if the German Industrial Production and the Eurozone Sentix Investor Confidence disappoint expectations.
Focus also on Japan and eurozone Q4 GDP data due Tuesday for impetus. US-Eurozone growth divergence could dent the common currency across the board.
Price action is holding support at 200H MA. Break below will drag the pair lower. Next major support lies at 21-EMA at 128.19.