On Monday, the common European currency edged higher by 34 pips or 0.26% against the Japanese Yen. A breakout occurred through the upper boundary of a descending channel pattern on Tuesday morning.
Given that a breakout has occurred, bullish traders could continue to pressure the exchange rate higher during the following trading sessions. The potential target for buyers will be near the 130.40 area.
However, the 200– hour simple moving average at 130.22 could provide resistance for the EUR/JPY currency exchange rate within this session.
