Key Moments
- EUR/JPY has declined for a fourth straight session, hovering around 184.40 and trading just below the top of a descending wedge on the daily chart.
- The pair remains under the nine-period and 50-period EMAs, with a 14-day RSI reading of 44.70 indicating waning bullish momentum rather than oversold conditions.
- Key downside reference levels include the 12-week low at 181.87 and the five-month low at 180.81, while resistance sits near the nine-day EMA at 184.78 and 50-day EMA at 184.87.
Technical Overview: Price Action and Pattern Context
EUR/JPY extended its decline for a fourth consecutive session during European trading on Friday, changing hands near 184.40. On the daily timeframe, the cross is trading slightly below the upper boundary of a developing descending wedge formation. This structure is characterized by a sequence of lower highs and lower lows within a narrowing price channel, signaling that the intensity of selling pressure is moderating as the range compresses.
Momentum and Moving Averages
From a short-term perspective, EUR/JPY retains a bearish bias as it continues to trade beneath both the nine-period and 50-period Exponential Moving Averages (EMAs). The pair has pulled back from recent highs, and the 14-day Relative Strength Index (RSI) sits at 44.70. This positioning of the RSI points to diminishing bullish momentum, without indicating an oversold market condition.
Upside Levels: EMAs and Wedge Resistance
On the upside, the cross may first confront immediate resistance at the nine-day EMA, currently at 184.78. Above that, the next technical hurdle aligns with the 50-day EMA at 184.87, followed by the upper boundary of the descending wedge pattern. A clear break through this confluence of resistance around the wedge top would open the way for EUR/JPY to move toward the region surrounding the all-time high at 187.95, which was posted on April 17.
Downside Focus: Recent Lows as Reference Points
If selling resumes, EUR/JPY may move back toward the zone around the 12-week low at 181.87, registered on March 16. Further weakness beyond that area would bring attention to the five-month low at 180.81, which was reached on February 12.
EUR/JPY: Daily Chart
Euro Performance Against Major Currencies
The following table presents the percentage changes of the Euro (EUR) against major currencies today. According to this snapshot, the Euro showed its weakest performance versus the Japanese Yen.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.23% | 0.27% | -0.02% | 0.18% | 0.72% | 0.77% | 0.13% | |
| EUR | -0.23% | 0.03% | -0.24% | -0.07% | 0.49% | 0.57% | -0.09% | |
| GBP | -0.27% | -0.03% | -0.25% | -0.09% | 0.46% | 0.52% | -0.13% | |
| JPY | 0.02% | 0.24% | 0.25% | 0.19% | 0.71% | 0.78% | 0.13% | |
| CAD | -0.18% | 0.07% | 0.09% | -0.19% | 0.52% | 0.56% | -0.05% | |
| AUD | -0.72% | -0.49% | -0.46% | -0.71% | -0.52% | 0.07% | -0.58% | |
| NZD | -0.77% | -0.57% | -0.52% | -0.78% | -0.56% | -0.07% | -0.64% | |
| CHF | -0.13% | 0.09% | 0.13% | -0.13% | 0.05% | 0.58% | 0.64% |
The heat map above illustrates percentage moves of major currencies relative to each other. The base currency is shown in the left-hand column and the quote currency along the top row. For instance, selecting the Euro from the left column and then moving horizontally to the US Dollar cell provides the percentage change for EUR (base)/USD (quote).
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