EUR/JPY Price Forecast: Tests nine-day EMA barrier after rebounding above 185.00

EUR/JPY extends its gains for the third successive day, trading around 185.20 during the Asian hours on Monday. The currency cross holds a mild bullish bias as price sits above the 50-day Exponential Moving Average (EMA), while being capped immediately by the nine-day EMA.

The 14-day Relative Strength Index (RSI) at 49.6 is effectively neutral, suggesting range-like conditions as the pair consolidates just above its medium-term trend support. Additionally, the technical analysis of the daily chart suggests the EUR/JPY cross is remained within the ascending channel pattern, signaling a prevailing bullish bias.

The EUR/JPY cross is testing the immediate barrier at the nine-day EMA of 185.22. A break above the short-term average would reinforce the bullish bias and support the currency cross to explore the region around the all-time high of 187.95, recorded on April 17, followed by the upper boundary of the ascending channel around 188.60.

On the downside, the primary support lies at the 50-day EMA of 185.12, with further declines targeting the lower boundary of the ascending channel around 184.50. A successful break below the channel would put downward pressure on the EUR/JPY cross to navigate the region around the four-month low of 181.87, recorded on March 16, followed by the six-month low of 180.81, reached on February 12.

(The technical analysis of this story was written with the help of an AI tool.)