FxWirePro: EUR/JPY recovery capped below 5-DMA, focus on ECB for further impetus

• EUR/JPY has resumed downside after brief consolidation in the previous session.
   
• Recovery in the previous session was capped at 100-DMA which is stiff resistance.
   
• European Central Bank (ECB) monetary policy decision is due to be announced Thursday at 1145 GMT, followed by Draghi’s press conference at 1230 GMT.
   
• Statement will be keenly in focus about the ECB's position regarding recent developments in inflation, growth and trade wars relative to its baseline.
   
• The single currency is extending weakness as we head into the ECB meeting due later today.
   
• EUR/JPY is trading 0.21% lower on the day at 129.86 at the time of trading, bias remains bearish.
   
• 55-EMA at 129.88 is immediate support, break below will see test of 50-DMA at 129.15.
   
• On the flipside, breakout at 100-DMA could see resumption of upside.

Support levels - 129.88 (55-EMA), 129.57 (trendline), 129.15 (50-DMA)

Resistance levels - 130.14 (5-DMA), 130.21 (100-DMA), 131

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at -16.003 (Neutral), while Hourly JPY Spot Index was at 158.915 (Bullish) at 0600 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.