EUR/JPY Under Pressure as Sellers Maintain Dominance
The EUR/JPY pair continues to trade under pressure as technical selling momentum remains strong. The current price of ¥181.06 is below its key moving averages, including the 20-day, 50-day, and 200-day averages at ¥184.83, ¥184.69, and ¥184.55 respectively.
The pair's momentum indicators are weak, with multiple oscillators showing deep oversold conditions. The RSI is at 27.13, Stochastic RSI is at 0, CCI is -256.69, and BBP is -0.32.
Analysts note that the EUR/JPY faced sustained downside pressure as Japanese bond yields attracted capital inflows, strengthening the yen. The pair's longer-term structure remains bullish, but immediate resistance is seen at ¥181.5 with support at this week's low of ¥180.54.
The 5-day forecast projects a range of ¥178.21 to ¥183.43, with a 78% probability of a further downward move. Traders are advised to closely monitor the ¥178.21 support level for signs of renewed volatility.