The single European currency depreciated about 59 base points against the Japanese Yen on Tuesday. A breakout occurred through the lower boundary of an ascending channel pattern at the end of yesterday’s trading session.
The currency pair is currently stranded between SMAs. The 50– and 100-hour SMAs are providing resistance for the pair at 125.30, while the 200-hour simple moving average is providing support for the rate at 125.05.
Technical indicators flash sell signals on the daily time-frame. Therefore, the decline of the currency exchange rate could continue during the following trading session.
