EUR/JPY Price Analysis: Some consolidation likely near-term

EUR/JPY extends the rangebound theme following tops near 133.50.
Immediately to the upside comes in the 2021 highs.

Pablo Piovano FXStreet

EUR/JPY seems to have moved into a consolidative phase around 133.00 for the time being.

Further consolidation looks likely in the very near-term, with the next up barrier at the YTD peak at 133.43 (May 19) ahead of the 2018 high around 133.50. Further upside should remain in the pipeline as long as the cross remains propped up by the immediate support line (off the March lows) near 130.70. This area is also reinforced by the 50-day SMA, today at 130.72. That said, the next resistance of note is seen at the 134.00 round level.

However, a potential corrective move should not be ruled out in the near-term, as EUR/JPY keeps flirting with the overbought territory, as per the daily RSI (68.56).

In the broader picture, while above the 200-day SMA at 126.84 the broader outlook for the cross should remain constructive.

EUR/JPY daily chart

EUR/JPY

Overview
Today last price	132.91
Today Daily Change	50
Today Daily Change %	-0.06
Today daily open	132.99

Trends
Daily SMA20	131.94
Daily SMA50	130.71
Daily SMA100	128.98
Daily SMA200	126.84

Levels
Previous Daily High	133.09
Previous Daily Low	132.71
Previous Weekly High	132.85
Previous Weekly Low	131.65
Previous Monthly High	132.37
Previous Monthly Low	129.57
Daily Fibonacci 38.2%	132.85
Daily Fibonacci 61.8%	132.95
Daily Pivot Point S1	132.77
Daily Pivot Point S2	132.55
Daily Pivot Point S3	132.39
Daily Pivot Point R1	133.15
Daily Pivot Point R2	133.31
Daily Pivot Point R3	133.53

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

AUD/USD hangs close to monthly lows, still defends 0.7100 ahead of Fed decision

AUD/USD retains its negative bias for the third straight day, defending 0.7100 while trading close to a monthly low in Wednesday's Asian session on Wednesday. The US Dollar stands firm near a two-week high as the anticipated Fed rate hike and oil-driven inflation fears continue to push US bond yields to a multi-year high. Furthermore, escalating Middle East tensions benefit the safe-haven buck and weigh on the risk-sensitive Aussie.

USD/JPY holds firm above 155.00, awaits Fed policy announcements

USD/JPY climbs to a fresh one-week high above 155.00 in the Asian session on Wednesday amid a bullish US Dollar. Oil-driven inflation fears, along with the anticipated Fed rate hike, continue to support surging US bond yields. Moreover, rising US-Iran tensions underpin the USD's reserve currency status. The pair, however, remains below the mid-155.00s as bulls seem hesitant ahead of the Fed decision later today and the BoJ meeting, starting on Thursday.

Gold traders seem noncommittal below $4,350; eyes Fed rate decision

Gold clings to modest intraday gains through the first half of the European session, albeit it lacks follow-through buying and remains below $4,350. The US Dollar eases from a two-week high amid some profit-taking, offering support to the commodity. Traders, however, seem hesitant to place aggressive directional bets and opt to wait on the sidelines heading into the key central bank event risk.

Cardano's bearish breakout warns of a 15% downside risk

Cardano (ADA) hovers around $0.1900 at press time on Wednesday after a 6% decline the previous day, breaking below a crucial support level. Declining on-chain activity across the Cardano ecosystem, with reduced transaction count and Real Economic Value (REV), suggests waning user demand.

Fed decision in focus

Starting with the most important, the Fed decision. Heading into the event, data showed a rather punchy US August jobs report, which, you will likely recall, triggered a hawkish Fed rate repricing in rates markets. However, the recent US August CPI print mattered more.

How Japan became the World's Banker and why that era may be ending

Japan's ultra-low interest rates helped finance trillions of dollars in global investments for more than a decade, making the Japanese Yen one of the world’s cheapest sources of funding. With the Bank of Japan expected to tighten policy again this week, that advantage may be entering a new phase. While most major economies raised interest rates, Japan remained the world's outlier.