The price action in the EURJPY market significantly broke through the resistance at the 160.00 mark before encountering a barrier at the 165.00 mark. Initially, bulls attempted to shift sentiment around this level but soon ran out of momentum. Since the previous session, the market has adopted a mild bearish tone.
Key Price Levels:
Resistance Levels: 162.50, 163.50, and 164.50
Support Levels: 162.00, 161.00, and 160.00
EURJPY May Decline Towards Support at the 160-Mark
Price action in the EURJPY market has dipped below the middle limit of the Bollinger Bands, indicating emerging headwinds. A bearish price candle has appeared, bringing the pair closer to the support level at the 162.50 mark.
Simultaneously, the leading line of the Moving Average Convergence Divergence (MACD) indicator is falling more steeply towards the equilibrium level. The histogram bars of the indicator are now solid red and growing taller below the equilibrium level, signaling strong and potentially strengthening headwinds, leading to further price declines.
EURJPY Maintains a Moderate Bearish Stance
Bears appear to be strengthening in the EURJPY 4-hour market. Despite the choppy characteristics, price activities are rapidly declining, as evident from the signs of the price candle representing the current session. Trading activities are occurring significantly below the middle limit of the Bollinger Bands. Additionally, the MACD lines have touched down on the equilibrium level.
It’s crucial to note that the bars of the indicator are solid red, indicating formidable current market momentum. Traders should prepare for a potential retracement towards the support at the 161.90 mark shortly.
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