EUR/JPY Price Analysis: Corrective downside could test 124.30

• EUR/JPY keeps correcting lower following recent YTD tops.
• The leg lower could extend further and tests the 124.30 area.

Following last week’s 2020 tops near 126.80, EUR/JPY has embarked in a corrective downside to the 125.30 region so far during the first half of the week.

Further downside is therefore on the cards and could drag the cross as low as the 124.30 zone, or last week’s low. Further south emerges the key contention area around 122.90.

The constructive view around EUR/JPY is predicted to remain unchanged while above the 200-day SMA at 120.26.

EUR/JPY daily chart