EUR/JPY chart - Trading View
EUR/JPY was trading 0.20% lower on the day at 129.99 at around 09:35 GMT, down for the 2nd straight session.
The pair has broken below 55 and 110 EMA support, upside remains capped at 5-DMA which has turned south.
Traders await the latest ECB meeting due later today at 11.45 GMT. The central bank is expected to begin asset tapering when it hands down its policy decision later in the day.
However, some investors expect the ECB to continue monetary support for much longer even after PEPP ends.
It could reduce its buying under the pandemic emergency purchase program (PEPP) as low as EUR60 billion ($75.96 billion) monthly from the current EUR80 billion.
Worries about COVID-19's impact on economic recovery also gave the safe-have JPY a small boost, dragging the pair lower.
Price action has slipped below daily cloud. RSI and 5-DMA has turned bearish. Price action has broken below 200H MA.
Bears eye 21-EMA which is immediate support at 129.81. Break below finds next major support at 200-DMA.
