EURJPY seems to be range bound, something also reflected in the flattening out of the slopes of the 20- and 40-day simple moving averages (SMAs). The directionless Ichimoku lines and the steadied cloud further reflect this view.
That said, the short-term oscillators, although somewhat stalled, still lean towards a positive picture. The MACD, in the positive region, is holding above its trigger line, while the RSI hovers in bullish territory.
If buying interest intensifies, resistance may originate from the eleven-month high of 127.48. Overcoming this boundary, the price may jump for the 129.90 zone, taken from the peak of October 2018.
In case of negative pressures, initial tough support could develop from the zone of the cloud around the 125.10 barrier. Pushing under the cloud, the 200-day SMA at 123.25 may prevent the decline from reaching the key 122.80 hurdle, shifting the bias to neutral.
In brief, the very short-term bias is neutral-to-bullish above the SMAs and the cloud. A break either above 127.48 or below 122.80 could reveal the next long-term direction.
