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EUR/JPY Price Forecast: Hovers around 178.50 within oversold territory

  • EUR/JPY may test support at the lower boundary of its descending channel near 177.60.
  • The 14-day Relative Strength Index at 29.84 signals ongoing downside pressure.
  • The initial barrier is the nine-day EMA at 179.73.

EUR/JPY gains ground for the second consecutive day, trading around 178.70 during Asian hours on Tuesday. Technical analysis of the daily chart indicates the currency cross remains within the descending channel pattern, signalling an ongoing bearish bias.

The EUR/JPY cross is keeping a bearish near-term tone as it holds below both the nine-day and 50-day Exponential Moving Averages (EMAs). The structure suggests rallies are likely to be sold while price stays capped by these averages, and the 14-day Relative Strength Index (RSI) at 29.84 hovers near oversold territory, hinting that downside pressure persists but could become stretched on further declines.

The EUR/JPY cross may find its primary support at the lower boundary of the descending channel around 177.60. A break below the channel would strengthen the bearish bias and put downward pressure on the cross as it navigates the region around the 10-month low of 175.70, recorded in November 2025.

On the upside, the EUR/JPY cross could rise toward the nine-day EMA of 179.73, followed by the 50-day EMA of 183.14. Further resistance lies at the upper boundary of the descending channel around 185.30, followed by the all-time high of 187.95 set on April 17.

Yen underperforms as markets look past sentiment to BoJ decision

Strategists at Scotiabank observe that the Yen’s underperformance versus the USD and its G10 peers appears to reflect more than just shifting risk appetite. They note that “the relative performance suggests a focus on factors beyond sentiment, as market participants eye Friday’s BoJ and its widely anticipated and fully priced hike,” with investors positioning ahead of the policy decision and upcoming Japanese data.

Chart Analysis EUR/JPY

(The technical analysis of this story was written with the help of an AI tool. Know more.)

Euro Price Today

The table below shows the percentage change of Euro (EUR) against listed major currencies today. Euro was the strongest against the New Zealand Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD0.08%0.08%0.23%0.08%0.17%0.41%0.08%
EUR-0.08%0.00%0.12%-0.01%0.08%0.31%-0.00%
GBP-0.08%0.00%0.15%-0.02%0.09%0.30%-0.00%
JPY-0.23%-0.12%-0.15%-0.15%-0.06%0.17%-0.15%
CAD-0.08%0.00%0.02%0.15%0.10%0.32%0.00%
AUD-0.17%-0.08%-0.09%0.06%-0.10%0.23%-0.10%
NZD-0.41%-0.31%-0.30%-0.17%-0.32%-0.23%-0.31%
CHF-0.08%0.00%0.00%0.15%-0.00%0.10%0.31%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Euro from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent EUR (base)/USD (quote).

Author

Akhtar Faruqui

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

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