The EUR/JPY currency pair appreciated during Asian trading hours on Friday, trading around 185.40 after experiencing minor losses the previous day. The pair maintains a constructive bullish bias, with the spot price remaining above both the nine-day and 50-day Exponential Moving Averages (EMAs), indicating underlying demand. The alignment of shorter- and medium-term EMAs below the current price further supports the bullish outlook. The 14-day Relative Strength Index (RSI) is near 52, suggesting moderate positive momentum without overbought conditions, which could allow for further upside if buyers retain control. Technical analysis indicates that EUR/JPY is moving within an ascending channel pattern, reinforcing the ongoing bullish bias [1].
Key resistance for EUR/JPY is identified at the six-week high of 186.21, reached on June 5. Should the pair advance further, it could approach the upper boundary of the ascending channel around 187.80, followed by the all-time high of 187.95, recorded on April 17. On the downside, immediate support is seen at the nine-day EMA of 185.23 and the 50-day EMA at 185.07. A decisive break below these levels could trigger a bearish shift, exposing the lower boundary of the ascending channel near 184.50. Extended downward momentum may lead the pair to test the nearly four-month low of 181.87, recorded on March 16, with further declines targeting the six-month low of 180.81, reached on February 12 [1].
In the broader context, the Euro showed mixed performance against major currencies, being the strongest against the New Zealand Dollar. The EUR/JPY pair specifically saw a -0.03% change, indicating relative stability in the cross during the trading session [1].
No explicit market reactions or analyst opinions were provided in the article, but the technical setup suggests a cautiously optimistic outlook for EUR/JPY as long as key support levels hold [1].
CONCLUSION
EUR/JPY is holding gains near 185.50 with a prevailing bullish bias, supported by technical indicators and key moving averages. The pair faces resistance at 186.21 and support at 185.23 and 185.07, with further moves likely dictated by breaks of these levels. The market sentiment remains moderately positive, with no significant volatility or market-moving news reported.