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EUR/JPY Price Forecast: Trades near 178.50 after rebounding from descending channel bottom

  • EUR/JPY may test support at its descending channel's lower boundary near 177.70.
  • The 14-day Relative Strength Index of 26.98 indicates oversold conditions.
  • The initial barrier lies at the nine-day EMA of 180.00.

EUR/JPY gains ground after registering losses in the previous day, trading around 178.30 during Asian hours on Monday. 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 retaining a bearish near-term bias as spot holds beneath both the nine- and 50-period Exponential Moving Averages (EMAs). The Moving Average Convergence Divergence is not available, but the 14-day Relative Strength Index (RSI) at 26.98 sits in oversold territory, hinting that while downside pressure dominates, the sell-off could start to lose momentum if buyers attempt to defend nearby structural levels.

The EUR/JPY cross may test its immediate support at the lower boundary of the descending channel around 177.70. 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 approach the nine-day EMA of 180.00, followed by the 50-day EMA of 183.33. Further resistance lies at the upper boundary of the descending channel around 185.50, followed by the all-time high of 187.95 set on April 17.

Analysts at Scotiabank highlight that Japanese officials at the Ministry of Finance have firmly resisted recent US attempts to steer Japan’s macro policy stance, noting that Finance Minister Katayama went so far as to describe Treasury Secretary Bessents’ remarks as “a bit scary.” This pushback, Scotiabank suggests, reinforces the authorities’ resolve and adds to the backdrop of “persistent hawkish rhetoric” that has supported the Yen into next week’s BoJ meeting.

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
USD0.25%0.13%0.31%0.01%0.30%0.50%0.27%
EUR-0.25%-0.08%0.02%-0.26%0.05%0.29%0.02%
GBP-0.13%0.08%0.10%-0.14%0.15%0.38%0.05%
JPY-0.31%-0.02%-0.10%-0.28%0.03%0.22%-0.06%
CAD-0.01%0.26%0.14%0.28%0.28%0.49%0.19%
AUD-0.30%-0.05%-0.15%-0.03%-0.28%0.23%-0.12%
NZD-0.50%-0.29%-0.38%-0.22%-0.49%-0.23%-0.33%
CHF-0.27%-0.02%-0.05%0.06%-0.19%0.12%0.33%

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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