- EUR/JPY records significant weekly losses, losing 2.20% on the day.
- A key point for traders is the Ichimoku Cloud support around the 158.00 level, which could accelerate the downtrend towards 154.00.
- To return to the bullish path, EUR/JPY must reclaim the Kijun-Sen at 161.00 and surpass the recent cycle low at 161.24, with the Tenkan-Sen at 161.68 below.
EUR/JPY closed the week on a negative note, down 1% on Friday, for a total weekly loss of over 2.20%, and turns bearish after breaking key support levels on Friday. At the time of writing, the EUR/JPY pair is trading at 159.73, after a drop of more than 160 points from the daily high of 161.77.
The pair turned lower, although it is pending to break the support of the Ichimoku Cloud (Kumo), around the 158.00 area. Once EUR/JPY extends its losses below that price level, sellers will target the October 3 swing low at 154.34, before the July 28 swing low at 151.40.
On the other hand, EUR/JPY needs to reclaim the Kijun-Sen at 161.00 before challenging the most recent cycle low at 161.24, the November 21 low. If these levels are broken, the next stop would be the Tenkan-sen at 161.68.
EUR/JPY Price Analysis – Daily Chart
EUR/JPY technical levels
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
