A rise in bullish momentum will drive the price up to the $133 barrier, which, if breached, will likely lead to further price increases to the $134 and $135 levels. If the barrier level of $133 is not breached, the price may retrace its steps and fall to the support levels of $132, $131, and $130.
EUR/JPY CHART Source: Tradingview.com
Levels of importance: Levels of resistance: $133, $134, and $135. The support levels are $132, $131, and $130.
Long-term EUR/JPY Pattern: Bullish
The long-term forecast for the Euro against the yen is optimistic. On October 8, the currency made a strong recovery from its support level of $129. Having broken through the pivot points of $130 and $131, the pair have soared to new heights. The upward trend has continued to the $133 mark. Market participants were mostly bearish yesterday, resulting in a decline in the stock price.
Today, it appears that the bulls are poised to seize control of the market. The EUR/JPY has passed above the two exponential moving averages to the upside, confirming that the price is in a positive trend. The price is currently trading above both the quick-moving average (9-day EMA) and the slow-moving average (50-day EMA) (21 day EMA).
An increase in bullish pressure will drive the price up to the $133 barrier, which, if broken, will likely lead to further price increases to the $134 and $135 levels. If the resistance level of $133 is not breached, the price may retrace its steps and fall to the support levels of $132, $131, and $130. The relative strength index for period 14 is, on the other hand, at 70 levels and pointing upward, indicating a buy signal.
Positive Medium-Term EUR/JPY Trend
On the 4-hour chart, the EUR/JPY is trending upward. Last week, the EUR/JPY broke through the key resistance level at $132, after previously breaking through the $130 and $131 resistance levels. The price is rising in the direction of the resistance level of $133. As of right now, the price is retracing, attempting the $132 level again. The bulls are attempting to return the price to its previous upward trend.
EUR/JPY is now trading underneath the 9-period exponential moving average (EMA) and the 21-period exponential moving average (EMA), indicating bearish momentum that may result in a pullback. Although the relative strength index is over 50 levels for period 14, the signal line is pointing up, indicating that the market is in a purchase mode.