The price movement of the single European currency versus the Japanese Yen was guided by a junior descending channel pattern on Tuesday. The exchange rate bounced off its lower boundary at 127.72 during yesterday’s session.
The currency pair breached the 50-hour simple moving average at 128.01 during the first part of Wednesday’s trading session.
Given that the EUR/JPY currency exchange rate has breached the 50-hour SMA, the next target for bullish traders will be near a resistance cluster formed by the combination of the 100– and 200-hour SMAs and the weekly pivot point at the 128.49 region.
