EUR/JPY Movement and Technical Analysis

The EUR/JPY pair experienced a rise for the third consecutive day, trading around 185.40 during Asian hours on Wednesday. This currency cross is currently positioned above both the 9-period and 50-period exponential moving averages (EMAs), supporting a slightly bullish sentiment. The 14-day Relative Strength Index (RSI), hovering around 53, indicates a stable position without suggesting overbought conditions, which implies that buyers are in control yet not excessively pushing the currency pair higher.

Looking at the daily chart, the EUR/JPY cross is positioned close to the upper boundary of a symmetrical triangle around 185.60. This could signal a potential bullish breakout as buyers appear to be actively driving the price upwards. If there is a noticeable close above this level, it might confirm a breakout, potentially leading to a sharp rally toward the all-time high of 187.95, recorded on April 17th.

On the downside, the key support level is at the 9-day EMA, currently at 185.12, followed by the 50-day EMA at 185.00. Should the pair decline further, it would put pressure on the EUR/JPY and test the lower boundary of the symmetrical triangle around 183.80. Breaking below this triangle could open the door to the four-month low of 181.87 from March 16th and the six-month low of 180.81.