EUR/JPY Price Analysis: Next on the downside comes 161.20

• EUR/JPY adds to the negative start of the week and tests 162.20.
• Further losses could revisit the 161.20 zone in the near term.

EUR/JPY corrects further down and drops to four-day lows around 162.20 on Tuesday.

The continuation of the downward bias carries the potential to drag the cross to the weekly low of 161.20/25 band (November 21) prior to the provisional 55-day SMA, today at 159.40.

So far, the longer term positive outlook for the cross appears favoured while above the 200-day SMA at 153.37.

EUR/JPY daily chart