The single European currency plummeted by 91 pips or 0.69% against the Japanese Yen on Tuesday. The currency pair breached the 50– and 200– hour SMAs during Tuesday’s trading session.
Currently, the exchange rate is trading near the lower boundary of an ascending channel pattern and could be set for a breakout.
If the breakout occurs, a decline towards the weekly S2 at 129.40 could be expected today.
However, if the channel pattern holds, bullish traders are likely to drive the currency exchange rate higher within this session.
