The common European currency fell by 54 points or 0.42% against the Japanese Yen on Thursday. The 50– hour simple moving average pressured the currency pair lower during yesterday’s trading session.
Currently, the EUR/JPY exchange rate is trading near the lower line of a descending channel pattern and could be set for a breakout.
If the breakout occurs, a decline towards the weekly S2 at 125.41 could be expected within this session.
However, if the channel pattern holds, the currency exchange rate is likely to make a pullback towards the 126.40 level today.
