EUR/JPY Daily Analysis
The intraday bias in EUR/JPY remains bullish, despite a decrease in upward momentum. The corrective decline from 148.38 appears to have ended at 137.37, and a further rally is expected to encounter resistance at 146.71. However, if the minor support level of 142.84 is breached, the intraday bias will become neutral.
In the larger scheme of things, the ongoing uptrend from the 2020 low of 114.42 remains intact as long as the 55-week EMA (currently at 139.03) holds. The long-term resistance level of 149.76 is the next target. Nonetheless, if the 55-week EMA is decisively breached, a deeper retracement to 135.40 (38.2% retracement of the rally from 114.42 to 148.38) is possible. A sustained break below that level will increase the likelihood of a trend reversal, with the 61.8% retracement at 127.39 becoming the next target.
