Forex
EUR/JPY Extends Downside as Technical Signals Favor Bearish Bias
The EUR/JPY cross is extending its three-day run of subdued price action within a descending channel, trading around 178.80 in Asian hours on Tuesday.
The 14-day Relative Strength Index (RSI) stands at 35.96, indicating persistent but moderating selling pressure as the cross holds below both its nine- and 50-day Exponential Moving Averages (EMAs).
Technical signals favor a downside bias, with bearish structure dominating EUR/JPY price action.
The pair is maintaining a negative short-term stance as spot prices stay below both the nine-day and 50-day EMAs. Analysts at Rabobank highlight that speculative positioning has shown reduced conviction in the Japanese Yen.