Despite being passed a couple of times, the 200-hour simple moving average together with the 55-hour simple moving average managed to cause a decline of the EUR/JPY currency exchange rate. On Tuesday, the rate’s decline had passed the support zone at 131.57/131.66 and pierced the 131.50 mark.
In the case that the rate continues to decline, it could aim at the support of the weekly S1 simple pivot point at 131.26. Afterwards, the weekly S2 at 130.73 and the 130.70 mark might serve as support levels. Note that the 130.70 mark acted as resistance in September and support in October.
On the other hand, a recovery of the pair might find resistance in the weekly simple pivot point at 132.09 and the 55-hour simple moving average. Above these two levels, the 200-hour SMA might provide resistance at 132.25. Higher above, the weekly R1 at 132.62 would highly likely act as a resistance.
