EUR/JPY analysis: Breaks channel pattern

Dukascopy Bank Team Dukascopy Bank SA

EUR/JPY

The common European currency edged higher by 33 pips or 0.25% against the Japanese Yen on Wednesday. A breakout occurred through the upper line of a descending channel pattern during yesterday's trading session.

Given that a breakout has occurred, bullish traders are likely to drive the exchange rate higher during the following trading session. The potential target for the EUR/JPY currency pair will be near the weekly resistance level at 133.85.

However, the 200– hour simple moving average at 133.60 could provide resistance for the currency exchange rate in this session.

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Dukascopy Bank Team

Dukascopy Bank SA

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