After the single European currency tested the weekly pivot point at 120.60 on Tuesday, the currency pair depreciated about 70 basis points.
All things being equal, the 50– hour simple moving average will likely pressure the EUR/JPY exchange rate lower within this session. The possible target for bearish traders would be near the bottom border of a junior descending channel pattern at 119.67.
Although, a support level formed by the weekly S1 at 119.90 could provide support for the currency exchange rate during the following trading session.
