EUR/JPY is about to slip beneath 131.23

EUR/JPY has not yet fallen down to the 55 and 100-day SMAs at 129.69/51, but is decisively headed south. The weekly pivot point was unable to underpin the currency pair, now the price is testing a combination of the 20-day SMA and the weekly S1. Nevertheless, the bullish outlook is intact, since the long-term up-trend line still holds and is expected to turn the latest bearish tendency around.

There was a notable change in the level of Japanese Yen's popularity recently, being that the share of Yen-long positions in its crosses plunged from 40% yesterday down to 30% today, meaning that less and less traders are expecting further appreciation of the currency evoked by the inflation data.