EUR/JPY Price Analysis: Bears show signs of presence, long-term bullish stronghold remains unchallenged

  • The daily chart reveals slightly bullish momentum, with RSI at 52, signifying resilient buying traction.
  • Indicators in the hourly chart denote a mild downward trend, which could hint at a potential shift.
  • Buyers must successfully maintain the main SMAs to mitigate bearish threats and ensure bullish continuation.

The EUR/JPY pair is currently trading at 163.13, exhibiting minimal losses. Despite the declines, the broader momentum remains bullish, but this sentiment remains finely balanced and open to fluctuations.

On the daily chart, the EUR/JPY pair indicates signs of a relatively positive to neutral momentum. The Relative Strength Index (RSI) has maneuvered within the positive territory over the most recent sessions, with the latest reading positioned at 52. This reading suggests a slightly bullish momentum, yet potentially susceptible to changes in market sentiment. Meanwhile, the red bar on the Moving Average Convergence Divergence (MACD) histogram suggests negative momentum, signaling that the sellers might be gearing up.

EUR/JPY daily chart

Shifting focus onto the hourly chart, fluctuations are more noticeable. The RSI values display a slight downward trend throughout the latest hours, reaching as low as 46. Alongside this, the consistently shrinking green bars of the MACD confirms the overall bearish momentum.

EUR/JPY hourly chart

In conclusion, while short-term indicators might show an inclination toward a sellers’ market, it’s important to note this is within a broader bullish context as seen on the daily chart. Buyers must step in and defend the 20-day SMA at 162.85 to leave the overall bullish trend intact.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Related Articles

Back to top button