EURJPY Edges Toward the 183 Mark

EUR/JPY Significant Levels

Resistance Levels: 183.50, 186.00, and 188.50

Support Levels: 180.00, 177.50, and 175.00

EUR/JPY Price Long-term Trend: Bullish

Price activity in the EURJPY market is keeping to its long-established upside trajectory. In fact, the market has even edged past the 182 threshold and still seems ready to keep going. Both the euro and the Japanese yen at the moment are loaded on the fundamental front with their data due to arrive next week. As a result, investors seem to be preparing to wrap up the week’s trading to strategize for the coming week.

This upcoming fundamental release may create some turbulence in the coming week. As such, investors may be waiting to close their positions at the 183 threshold for the week to re-strategize for the coming one. As such, it may be the battle of the heavier side between the pair.

Daily Chart Indicators Reading

Since the start of the week, price action in the EURJPY market has been floating upward above the 9-day Exponential Moving Average (EMA) line. Even the last price candle here stays green as it stands some distance above the EMA.

Likewise, the Stochastic Relative Strength Index (SRSI) indicator lines are still projected upwards. The lead line of the indicator has just hit the 100 mark, while the lagging line stands at the 82 threshold.

EUR/JPY Medium-term Trend: Bullish

Here price action still keeps to an upward path. Since the past five sessions, one can see that price action has stayed green, as the market floats upward above the 9-day EMA.

However, there are indications that upside forces are getting weaker. The last price candle here suggests that downward forces are trying to wear out the bulls. This has resulted in the appearance of a lower shadow on the ongoing session.

4-hour Chart Indicators Reading

On the medium term, the EURJPY market stays on a bullish course. This opinion stems from the fact that price activity remains above the 9-day EMA line here as well.

The ongoing session as well remains green but has the form of a hammer-shaped price candle. Furthermore, the SRSI lines also keep an upward bearing. Meanwhile, both of the indicator lines are already above the 70 threshold, while the lead line has made it past the 80 mark.

General Outlook for EUR/JPY

The fact that price action in the EURJPY market stands above the 9-day Exponential Moving Average suggests that price action may still edge higher. However, the SRSI indicator line unravels the fact that upside momentum may be weakening, as it indicates an overbought condition.

The lead line of the indicator as well seems a bit hyper-extended, and there is such moderate volatility in the market. As such, traders may want to stay cautious at this point in the market since investors may close their positions at the 183 mark ahead of the new week.

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