FxWirePro: EUR/JPY consolidates break above 200-DMA, outlook bullish

Chart - Courtesy Trading View 

EUR/JPY was trading 0.31% lower on the day at 141.56 at around 09:30 GMT, bias remains bullish.

The latest manufacturing activity survey from S&P Global research showed earlier on Tuesday that the Eurozone manufacturing sector downturn eased further in January.

The S&P Global Eurozone January Manufacturing purchasing managers index (PMI) came in at 48.8 vs. 48.5 expectations and 47.8 last. 

The bloc’s Services PMI was also up to 50.7 in January, above expectations at 50.2 and December’s 49.8.

The Eurozone Composite PMI climbed sharply to 50.2 in January vs. 49.8 estimated and 49.3 previous, a new seven-month high.

Upbeat PMI data and hawkish commentary from the Europen Central Bank officials earlier in the week, likely keep downside in the pair limited.

Technical bias remains bullish. Price action is above 200-DMA and is on track to test daily cloud. Break above cloud will fuel further upside.