EUR/JPY Price Analysis: Recovery could extend to 120.44, the 200-day SMA

• EUR/JPY is extending the bounce off 2020 lows near 118.80.
• The next target of relevance emerges at the 200-day SMA near 120.50.

EUR/JPY has regained some traction on the back of the improved sentiment surrounding the riskier assets at the beginning of the week.

If the recovery gains serious traction, then the key 200-day SMA, today at 120.44, should return to the investors’ radar in the near term.

Above the key 200-day SMA the cross is expected to accelerate gains towards monthly tops at 121.15 (February 5^th).

EUR/JPY daily chart