The Eurozone single currency declined by 63 pips or 0.49% against the Japanese Yen on Friday. The decline was stopped by a support level formed by the 100– hour SMA at 126.85 during Friday’s trading session.
Currently, the exchange rate is trading near the lower boundary of an ascending channel pattern at 126.89 and could be set for a breakout.
If the breakout occurs, bearish traders are likely to pressure the EUR/JPY pair lower during today’s session.
However, if the channel pattern holds, the currency exchange rate could continue to trend higher during the following trading session.
