EUR/JPY Rally Faces Resistance as Fed Rate Hike Fuels Dollar Surge

The EUR/JPY pair is trading at ¥180.43, up 0.81% on the day and near session highs.

The US Federal Reserve raised interest rates by 25 basis points on September 17, impacting global forex dynamics.

EUR/JPY shows strong short- and medium-term upward momentum with intraday overbought signals, expected to trade between ¥179.53 and ¥181.33 in the next 2 to 3 days.

The increased appeal of dollar assets in the wake of the Fed's move has contributed to directional volatility in both the euro and the yen.