FxWirePro: EUR/JPY holds above 23.6% Fib, break below 110-EMA keeps scope for further downside

• EUR/JPY edges higher from session lows at 132.36, break below 110-EMA keeps scope for downside.
   
• The major has slipped below 133 handle and is currently trading at 132.85, down 0.22% on the day.
   
• Technical indicators support weakness. Next likely bear target lies at 200-DMA at 130.85.
   
• MACD has shown a bearish crossover and RSI biased south. We see -ve DMI dominance on daily charts and ADX rising.
   
• Price action finds stiff resistance at 100-DMA at 133.59, we see bearish invalidation on decisive break above.

Support levels - 132.15 (23.6% Fib 114.851 to 137.506 rally), 131.16 (Nov 20 low), 130.85 (200-DMA)

Resistance levels - 133.06 (110-EMA), 133.59 (100-DMA), 133.90 (cloud base)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-EUR-JPY-Trade-Idea-1144897) has hit TP1.

Recommendation: Bias lower, stay short

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