EUR/JPY Technical Analysis: Recovery could extend to the 119.60 area

• EUR/JPY is testing the 10-day SMA in the mid-118.00s at the beginning of the week following the continuation of the selling mood around the Japanese Yen.
• The ongoing recovery carries the potential to extend to the 21-day SMA in the 119.40 region ahead of last week’s tops in the 119.60 area.
• However, as long as the 55-day SMA at 120.93 and the short-term resistance line just above the 121.00 mark cap the upside, another visit to YTD lows in the 117.50 area should not be ruled out.

EUR/JPY daily chart