FxWirePro: EUR/JPY holds major trendline support at 119.50, bias lower, stay short

EUR/JPY has edged higher from major trendline support at 119.50 with a spinning top formation at lows. 

Technical studies still support downside in the pair, 100-DMA at 118.62 in sight.

The Japanese yen has been picking up a bid on the geopolitical uncertainties.

The euro to remain weak in light of weak German December IP data and dovish comments from Draghi overnight.

Call update: We had advised a short in our previous call (http://www.econotimes.com/FxWirePro-EUR-JPY-on-track-to-test-100-DMA-at-11855-good-to-short-rallies-525880)

We recommend holding for downside. Bearish invalidation only on close above 5-DMA at 120.55.

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at -73.5899 (Bearish), while Hourly JPY Spot Index was at 70.535 (Bullish) at 0150 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.