The EUR/JPY currency pair bounced off a support level formed by the 50– hour simple moving average at 131.60 on Thursday. As a result, the common European currency edged higher by 83 pips or 0.63% against the Japanese Yen during yesterday’s trading session.
Given that a breakout has occurred through the upper boundary of a descending channel pattern, bulls could continue to drive the exchange rate higher during the following trading session.
However, long traders might encounter resistance near the 132.60 area within Friday’s session.
