FxWirePro: EUR/JPY stays in the red, upbeat Eurozone inflation data fails to impress

Chart - Courtesy Trading View 

EUR/JPY was trading 0.14% lower on the day at 137.20 at around 10:00 GMT.

The pair has retraced from session highs at 137.98, euro bulls largely ignore upbeat eurozone inflation numbers.

Data published by Eurostat showed the annualized Eurozone HICP jumped 8.1% in May beating expectations for a rise to 7.7% from 7.4% previous. 

The core figures arrived at 3.8% YoY in May, above consensus estimates for a steady reading of 3.5% booked in April. 

The data follows a day after Germany's annual inflation hit a record high level of 8.7% in May, stoking aggressive rate hikes by the European Central Bank.

Technical analysis shows bullish bias for the pair. GMMA indicator shows major and minor trend are bullish.

Momentum is bullish, volatility is high, price has found strong support at daily cloud and weakness only on break below. 

Support levels - 136.72 (Cloud top), 136.11 (20-DMA)

Resistance levels - 138.61 (Upper BB), 139

Summary: EUR/JPY trades with a bullish bias. Scope for further gains. Bullish invalidation only below daily cloud.