The Eurozone single currency depreciated about 50 basis points against the Japanese Yen on Thursday. The 50– hour simple moving average pressured the currency pair lower during yesterday’s trading session. As forecast on Thursday, the EUR/JPY exchange rate could still target a support level formed by the monthly S2 at 116.74.
If the support level holds, bulls could drive the price towards a resistance cluster formed by the monthly S1 and the 50– hour SMA at 117.40.
However, if the currency exchange rate passes the monthly S2, as mentioned earlier, the next target for the pair will be at the lower boundary of a junior descending channel at 116.24.
