EUR/JPY Price May Extend Downward Trend Unless 179.88 Resistance Holds
The EUR/JPY pair remains in a neutral bias, with further decline favored as long as the 179.88 minor resistance level holds. According to ActionForex, below 177.82, the fall from 187.93 will likely extend to 175.41 key cluster support. However, breaking through the 179.88 resistance could signal short-term bottoming and lead to a stronger rebound towards the 55-day Exponential Moving Average (EMA), currently at 183.60.
In the bigger picture, price actions from 187.93 are likely part of a correction of the upward trend from 154.77 (2025 low). A deeper fall could be seen to 175.41 cluster support and 38.2% retracement of 154.77 to 187.93 at 175.26 before completion. For now, the risk remains on the downside as long as the 186.00 resistance holds, in case of a rebound.