The common European currency has depreciated about 50 base points against the Japanese Yen since yesterday’s trading session. The currency pair tested the lower boundary of a junior ascending channel pattern during the Asian session on Tuesday.
After hitting the 200-hour simple moving average at 124.81, the EUR/JPY exchange rate began to gain strength.
As for the near future, it is likely that the currency exchange rate will aim at a swing high of 125.47.
However, a resistance level formed by the upper boundary of a dominant descending channel at 125.26 could hinder such movement today.
