EUR/JPY Price Analysis: Bearish harami pattern looms below 158.00

EUR/JPY trades down 0.16%, maintaining its downward bias.
The bearish sentiment persists as price action drops below Ichimoku Cloud, and the Tenkan-Sen crosses below the Kijun-Sen.
A less probable bullish scenario requires EUR/JPY to rally past a five-month-old resistance trendline at around 157.35/45.

Christian Borjon Valencia FXStreet

The EUR/JPY is set to finish Tuesday’s session on a lower note, cementing its bearish bias ahead of major central banks' monetary policy decisions, including the European Central Bank (ECB). At the time of writing, the pair is trading at 157.04, down 0.16%.

The daily chart portrays the pair as downward biased due to price action falling below the Ichimoku Cloud and crossing the Tenkan-Sen below the Kijun-Sen. For a bearish resumption to continue, bears need to step and push prices below the December 11 daily low of 155.86. Once cleared, the next support would be the December 8 low of 153.86, ahead of the December 7 swing low of 153.11

On the flip side, and the least probable scenario if EUR/JPY rallies past a five-month-old resistance trendline at around 157.35/45, the first resistance would be the Tenkan-Sen at 157.44. Once cleared, the next stop would be the Senkou Span A at 158.07, followed by the Kijun-Sen at 158.71.

EUR/JPY Price Analysis – Daily Chart

EUR/JPY Technical outlook

EUR/JPY

Overview
Today last price	157.03
Today Daily Change	-0.36
Today Daily Change %	-0.23
Today daily open	157.39

Trends
Daily SMA20	161.08
Daily SMA50	159.79
Daily SMA100	158.72
Daily SMA200	154.07

Levels
Previous Daily High	157.69
Previous Daily Low	155.6
Previous Weekly High	159.84
Previous Weekly Low	153.17
Previous Monthly High	164.31
Previous Monthly Low	159.07
Daily Fibonacci 38.2%	156.89
Daily Fibonacci 61.8%	156.4
Daily Pivot Point S1	156.1
Daily Pivot Point S2	154.81
Daily Pivot Point S3	154.01
Daily Pivot Point R1	158.18
Daily Pivot Point R2	158.98
Daily Pivot Point R3	160.27

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

EUR/USD challenges 1.1800, two-week lows

EUR/USD remains on the defensive, extending its leg lower to the vicinity of the 1.1800 region, or two-week lows, on Tuesday. The move lower comes as the US Dollar gathers further traction ahead of key US data releases, inclusing the FOMC Minutes, on Wednesday.

GBP/USD looks weaker near 1.3500

GBP/USD adds to Monday’s pessimism and puts the 1.3500 support to the test on Tuesday. Cable’s marked pullback comes in response to extra gains in the Greenback while disappointing UK jobs data also collaborate with the offered bias around the British Pound.

Gold loses further momentum, approaches $4,800

Gold recedes to fresh two-week troughs around the $4,800 region per troy ounce on Tuesday. The precious metal builds on Monday’s downtick following a marked rebound in the US Dollar and mixed US Treasury yields across the board.

Crypto Today: Bitcoin, Ethereum, XRP upside looks limited amid deteriorating retail demand

The cryptocurrency market extends weakness with major coins including Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) trading in sideways price action at the time of writing on Tuesday.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Ripple slides to $1.45 as downside risks surge

Ripple edges lower at the time of writing on Tuesday, from the daily open of $1.48, as headwinds persist across the crypto market. A short-term support is emerging at $1.45, but a buildup of bearish positions could further weaken the derivatives market and prolong the correction.