FxWirePro: EUR/JPY depressed below daily cloud, euro under pressure ahead of ECB policy meet

Chart - Courtesy Trading View 

EUR/JPY was trading 0.18% lower on the day at 140.73 at around 04:55 GMT, consolidates previous session's slump.

Fears of a global banking crisis, after contagion from the implosion of U.S.-based Silicon Valley Bank spread to Swiss bank Credit Suisse, keep markets jittery.

Investors' confidence remains sour sending traders flocking to the safe-haven currencies like the greenback and Japanese yen. 

The European Central Bank meets later on Thursday and is due to announce its interest rate decision following the meeting. 

Traders scale back bets on a 50-basis-point ECB rate hike as the rout in Credit Suisse shares fanned concerns about the health of Europe's banking sector.

EUR/JPY is set to extend previous session's fall. Momentum is bearish and volatility is high and rising.

Price action is below cloud and major moving averages which are trending lower. MACD and ADX support further weakness in the pair. 

Major Support Levels: 

S1: 139.57 (55-week EMA)

S2: 138.49 (Lower W BB)

Major Resistance Levels: 

R1: 141.77 (200-DMA)

R2: 142.05 (Cloud top)

Summary: EUR/JPY poised for further weakness. Watch out for close below daily cloud for further weakness. Test of Symmetric Triangle base at 139.50 likely.