The common European currency depreciated about 68 basis points against the Japanese Yen on August 7. The currency pair tested the lower boundary of a triangle pattern at 118.50 during the end of yesterday’s trading session.
Most likely, the EUR/JPY exchange rate could continue its decline within this session. The potential downside target will be near the monthly support level at 118.00.
If the support level holds, a pullback towards the weekly and the monthly resistance levels at 119.36 might be expected during the following trading session.
