EURJPY fell below the 20-period simple moving average (SMA) on the four-hour chart on Wednesday, stretching the downfall from the 32-month high of 133.43 inside the 132.00 area. The RSI indicator is still fluctuating around its 50 neutral level, while the MACD is losing strength beneath its trigger line.
Another move lower could test the 40-period SMA at 132.63 ahead of the 132.50 barrier. If sellers breach the latter, the 23.6% Fibonacci retracement level of the upward move from 128.28-133.43 at 132.20 could come next into view, while below that the focus will turn to 132.03.
If the price bounces back above the 20-period SMA, immediate resistance could occur near the 32-month peak of 133.43. A more aggressive upturn could drive the price towards the January 2018 top of 137.50.
Overall, EURJPY continues to trade in an uptrend since March 24. Any declines below the 200-period SMA at 131.15 may shift this bias to neutral.
