The common European currency surged by 84 pips or 0.72% against the Japanese Yen on Friday. The currency pair tested the 100– hour simple moving average during Friday’s trading session.
The exchange rate is currently trading near the upper boundary of a descending channel pattern.
Given that the EUR/JPY pair is trading near the upper line of the channel pattern, a breakout might occur within this session.
However, if the descending channel pattern holds, bearish traders could drive the currency exchange rate towards the weekly S1 at 115.48 today.
