On Friday, the European single currency surged by about 118 basis points against the Japanese Yen. However, after hitting the monthly R1 at 119.90, the currency pair made a U-turn south.
Currently, the exchange rate is near a support level formed by the 50– hour simple moving average at 119.14.
If the support level holds, the EUR/JPY pair will most likely continue its upside movement within this session.
On the other hand, if the currency exchange rate breaches 50– hour SMA, a decline towards the lower line of an ascending trendline could be expected today.
