The EUR/JPY currency exchange rate managed to pass the resistance of the 131.00 mark on Tuesday. However, the following surge was not long, as the rate started to decline, before reaching the 131.50 mark. By the start of Wednesday’s European trading hours, the pair had retreated to fluctuate near the 131.00 mark. Although, it appeared that the 131.00 mark did not provide support.
In the case that the pair declines, it could look for support in the 50-hour simple moving average near 130.80. Despite being shortly pierced, the SMA pushed the rate up on Tuesday. Below the SMA, a trend line that connects December 19 and January 3 low levels might act as support. Further below, the 130.50 mark and the weekly simple pivot point at 130.45 might act as support levels.
On the other hand, a potential surge might make an attempt to pass the resistance of the 131.50 mark and the weekly R1 simple pivot point at 131.52.
