EUR/JPY Price Analysis: Rising bets for a move to 116.00 (and below)

• EUR/JPY remains on the defensive and trades near YTD lows.
• A breakdown of the 116.00 looks likely in the current context.

EUR/JPY is intensifying the downside on Tuesday, dropping to the low-116.00s amidst the prevailing risk-off sentiment in the global markets.

That said, a move to the yearly lows in the vicinity of the 116.00 mark remains well on the cards for the time being. A breach of this area of contention should open the door for a visit to the 2019 low at 115.86 (September 3).

Looking at the broader picture, the downside pressure is expected to lose some momentum on a surpass of April tops in the 109.00 neighbourhood.

EUR/JPY daily chart