The EURJPY currency pair encountered downward pressure yesterday, driven by negative signals from the stochastic indicator. This caused the pair to retreat below the 163.35 level and dip beneath the previously breached bearish channel resistance at 162.45.
A notable divergence between key technical indicators, particularly the 55-period moving average holding steady below the current price, suggests a period of sideways consolidation. The pair is expected to trade within a narrow range as it waits to decisively break above the 163.35 level. Surpassing this resistance is essential to confirm a renewed bullish outlook, with potential targets near 163.90 and 164.40 thereafter.
Today’s anticipated trading range is between 162.30 and 163.35.
Trend Outlook: Sideways movement expected until a clear breakout occurs.
