EUR/JPY: short-term downside risk is limited - FXStreet

Valeria Bednarik, chief analyst at FXStreet, explained that the EUR/JPY pair still has a downside risk on a short-term basis, as the 1-hour chart's technical indicators have entered the negative territory, showing modest bearish slopes.

Key Quotes:

"In the same chart, the 100 and 200 SMAs converge around 115.05, a few pips above a Fibonacci support, and a break below this region will likely fuel the decline during the upcoming sessions. In the 4 hours chart, the Momentum indicator keeps heading higher within positive territory whilst the price remains well above a bullish 100 SMA, currently around 114.65, although the RSI indicator has turned lower, now around 52, all of which suggest that the downside risk is for now limited."