- EUR/JPY is hovering around the 160.00 zone after hitting weekly lows around 158.70.
- The pair remains bullish above the Kumo, but could cement its bias above 160.00.
- If the cross falls below 159.00, further declines are expected.
EUR/JPY posts minimal losses late in the North American session on Monday, down just 0.13% after posting previous losses of 0.50%. At the time of writing, the pair is trading at 159.50.
During the session, the pair hovered around the top of the Ichimoku (Kumo) cloud, while setting four-week lows around 158.71, before reversing course and buyers reclaimed the level of 159.00. Although a “dragonfly doji” is forming, EUR/JPY buyers must reclaim the daily high of 159.84 from December 4, so they could threaten to challenge the 160.00 figure. From a price action perspective, upside risks remain with the pair above Kumo.
The next resistance lies at the Kijun-Sen at 161.00 before buyers rally the Tenkan-Sen at 161.21. However, a bearish resumption could occur if sellers push prices towards the 159.00 figure, before testing the Kumo top at 158.00.
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.
