The EUR/JPY rate approached the 128.50 mark on Tuesday morning, but failed to pass it. A following decline of the pair reached the 127.60 mark, which provided support for the rate to recover. By the start of Wednesday’s European trading hours, the currency exchange rate had reached the 128.20 level where it encountered resistance.
In the case that the pair declines, it would most likely look for support in the 50-hour simple moving average near 128.00 and the weekly simple pivot point at 127.91. In addition, note that the 128.00 level has shown to be capable of impacting the currency pair. Below these levels, the 127.60 level might once again provide support.
On the other hand, a potential surge of the Euro against the Japanese Yen would first test the 128.20 level. Afterwards, the weekly R1 simple pivot point at 128.43 and the 128.50 mark might provide resistance.
