The common European currency declined by 52 basis points or 0.41% against the Japanese Yen on Monday. The EUR/JPY currency pair breached the 50– hour simple moving average during yesterday’s trading session.
All things being equal, the exchange rate could continue to trend bearish during the following trading session. A breakout through the lower line of an ascending channel pattern could occur.
However, if the channel pattern holds, the currency exchange rate would make a brief pullback towards the 126.40 area during the following trading session.
