The negative stance on the cross is seen unchanged while below the 122.15/21 area, where coincide the 55-day SMA and the short-term resistance line, suggested Karen Jones, Team Head FICC Technical Analysis at Commerzbank.

“EUR/JPY slid lower last week and maintains a negative bias while we are below the 55 day ma and the 3 month downtrend at 122.15/21. It should head down to the 119.91 78.6% Fibonacci retracement. This is the last defence for the 117.85 January spike low. Resistance is offered initially by the 55 day ma and downtrend at 122.15/21 and then 123.34/75 May 21, June and current July highs”.