Forex | EURJPY | Buyers Pushing at the Break Higher?

Today’s focus: EURJPY

Pattern – HL Breakout

Possible targets – 158.00, 160.00

Support – 155.75

Resistance – 157.95

Today, we can’t ignore the strong performance we are seeing from the majors to the Japanese yen. All of the majors are currently trading above +0.80% higher, with the EUR, GBP and USD trading more than 1.20% higher.

Today, we have zoned in on the EURJPY as it’s the only one of the four majors that have retested its major high. After jumping by 1.44%, buyers have briefly beaten the 158.00 level. Today’s move is technically strong as it broke out of mini resistance and maintained the trend break. This started from a mini support hold and HL after the trend break.

From here, we want to see buyers hold the move and break above 158. A close above that level sets up a newly held HH and shows us that buyers are well and truly trying to continue the trend. If we see a new hold by sellers at 158, that’s ok, but we will want to see a new test and break of that level by buyers in the short term to show they have control.

A new lower high under or at 158, followed by a new move back to 155.75, would be a concern for buyer momentum in the short term. Let’s see what buyers have left and if they are set to break 158. Remember, we have the ECB rates decision next Thursday and the BOJ rates meeting on Friday.

EURJPY D1 Chart

Have a great day and good trading.