EUR/JPY Price Analysis: Further downside could extend to 118.50

• EUR/JPY comes under renewed downside pressure on Monday.
• The next target now emerges at the February lows in the 108.50 region.

After printing multi-week tops beyond 121.00 the figure last Wednesday, EUR/JPY has come under selling pressure and is once again navigating the sub-120.00 zone.

The cross is prolonging the recent breakdown of the key 200-day SMA in the 120.00 region. The continuation of the selling bias should see the cross testing the mid-118.00s in the near term, where emerge the February lows.

As long as the 200-day SMA near 120.00, caps the upside, there is still scope for a deeper retracement.

EUR/JPY daily chart