FxWirePro: EUR/JPY recovery capped at 100-DMA, focus on German Ifo and EU-US trade talks for further impetus

• EUR/JPY is trading in a narrow range as we head into German Ifo index data. 
   
• Markets expect the German Ifo surveys to disappoint. Any positive surprise could see some upside.
   
• The pair has paused 5 straight sessions of losses and is trading 0.07% higher on the day  at 130.01 at the time of writing.
   
• Upside remains capped at 100-DMA at 130.22. Further gains only on decisive break above.
   
• Technical bias remains bearish. Also, ECB due tomorrow is another major risk, where the central bank is expected to stay pat for long period.
   
• Focus shall also be on the all-important trade talks between the European Union (EU) President Juncker and the US President Trump.
   
• While Trump called for a free trade deal with the EU late-Tuesday, EU urges for Trump to suspend tariffs in order to get a trade deal.

Support levels - 129.17 (38.2% Fib and 50-DMA), 129, 128.50 (July 4 low)

Resistance levels - 130.14 (20-DMA), 130.22 (100-DMA), 130.33 (5-DMA), 131.83 (200-DMA)

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at -28.472  (Neutral), while Hourly JPY Spot Index was at 42.7811 (Neutral) at 0715 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.