On Thursday the direction of the common European currency against the Japanese Yen was finally revealed. A new junior ascending channel was spotted and mapped on the 1H trading chart.
The currency pair bounced off the bottom boundary of the uptrend channel during the middle of Wednesday trading session, and as a result, the rate breached the 55-hour simple moving average and a resistance cluster set by the combination of the weekly and the monthly PPs near the 130.93 mark.
Given that the EUR/JPY currency exchange rate has moved closer to the upper boundary of an ascending trendline, a breakout could be expected during the following trading session.
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