The common European currency has surged by 102 basis points or 0.83% against the Japanese Yen since yesterday’s trading session. A breakout occurred through the 123.20 level on Tuesday morning.
Given that a breakout has occurred from the consolidated zones, bullish traders are likely to pressure the exchange rate higher within this session. The potential target would be at the 123.80 area.
However, a resistance level formed by the upper boundary of a descending channel pattern could provide resistance for the currency exchange rate during the following trading session.
