EUR/JPY Price Analysis: Further decline stays on the cards

• EUR/JPY manages to rebound from the 128.30 region.
• Extra losses could re-visit the 127.80 zona in the near-term.

EUR/JPY regains some traction after bottoming out in multi-week lows around 128.30 on Wednesday.

The upside momentum now looks dented and a deeper pullback in the cross could re-visit the 127.75/80 band, where coincide the 50-day SMA and the short-term support line (off the November’s low).

A break below the latter should alleviate the upside pressure and allow for the continuation of the downtrend, at least in the near-term view.

In the meantime, while above the 200-day SMA at 125.08 the broader outlook for the cross should remain constructive.

EUR/JPY daily chart