EUR/JPY Price Analysis: Next on the downside comes the 124.30 area

• EUR/JPY keeps correcting lower following recent YTD tops.
• The leg lower could extend further and re-visit the 124.30/25 band.

Following last week’s 2020 tops near 126.80, EUR/JPY has embarked in a corrective downside, which is now navigating its fifth consecutive session.

Further downside is therefore likely and could drag the cross as low as the 124.30 zone, or last week’s low. If the selling impetus picks up pace, then the next key contention area is located near 122.90.

In spite of the ongoing move, the constructive view around EUR/JPY is predicted to remain unchanged while above the 200-day SMA at 120.32.

EUR/JPY daily chart