A new election now looking a distinct possibility, which is likely to keep pressure on the single currency.
EUR/JPY down 0.46% on the day, edges higher from session lows at 131.17.
The pair finds strong support in the 130.98 to 131.20 region, break below will see weakness.
Next major support below 100-DMA lies at 129.86 (23.6% Fib retrace of 114.85 to 134.50 rally).
Break above 5-DMA at 132.81 could see minor upside till 133.88.
Focus now on Draghi's testimony on the economy and before the European Parliament Economic and Monetary Affairs Committee.
Support levels - 131.21 ( 100-DMA ), 131, 130.60 (Sept 15 low), 129.86 (23.6% Fib retrace of 114.85 to 134.50 rally)
Resistance levels - 132.61 ( 20-DMA ), 132.81 (5-DMA), 133
Good to go short on decisive break below 100-DMA at 131.21, SL: 132.80, TP: 131/ 130.60/ 129.85.