EUR/JPY Price Analysis: Dips amid risk-off mood, as tweezers top suggest downside expected

EUR/JPY falls over 0.30%, retreating from the week's high as risk aversion grips markets, highlighted by losses in US equities.
Technical analysis reveals a 'tweezers-top' pattern, suggesting potential for further decline if the pair breaches the 163.07 support.
A failure to break below 163.00 could lead to a rebound, with resistances at 164.00 and the year-to-date high of 164.31 as key targets for buyers.

Christian Borjon Valencia FXStreet

EUR/JPY retreats from a weekly high hit earlier during the Asian session and drops more than 0.30% on Thursday amid a risk-off impulse, as witnessed by US equities printing losses, despite falling US Treasury bond yields.

From a technical standpoint, a ‘tweezers-top’ formed in the EUR/JPY daily, though further downside is needed below the November 15 swing low of 163.07 to sponsor a leg lower. If sellers push prices below that level, the next stop would be the Tenkan-Sen at 162.31, the Senkou Span A at 161.51, and the Kijun-Sen level at 160.64.

On the other hand, EUR/JPY sellers' failure to crack below 163.00 could open the door for further upside, with the first resistance seen at the 164.00 figure. A decisive break would expose the year-to-date (YTD) high at 164.31, followed by the 165.00 figure.

EUR/JPY Price Analysis – Daily Chart

EUR/JPY Technical Levels

EUR/JPY

Overview
Today last price	163.54
Today Daily Change	-0.64
Today Daily Change %	-0.39
Today daily open	164.18

Trends
Daily SMA20	160.3
Daily SMA50	158.69
Daily SMA100	157.9
Daily SMA200	152.5

Levels
Previous Daily High	164.2
Previous Daily Low	163.07
Previous Weekly High	161.95
Previous Weekly Low	160.15
Previous Monthly High	160.85
Previous Monthly Low	154.39
Daily Fibonacci 38.2%	163.77
Daily Fibonacci 61.8%	163.5
Daily Pivot Point S1	163.43
Daily Pivot Point S2	162.69
Daily Pivot Point S3	162.3
Daily Pivot Point R1	164.57
Daily Pivot Point R2	164.95
Daily Pivot Point R3	165.7

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.

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