Eurjpy Crosses Important Resistance

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Eurjpy Crosses Important Resistance

EUR/JPY Crosses 159.00 With Sight On Yearly High

The bullish rebound in the EUR/JPY continues as the pair has already crossed the 159.00 resistance level. In the process of claiming the 159.00 level, the EUR/JPY has managed to make new weekly highs.

If we consider the price action of EUR/JPY in the short term, it looks like the Euro/Japanese Yen cross will likely stage more upside in the short term. In addition, the most relevant resistance zone for the EUR/JPY is located near 159.76, which is also the yearly top.

EUR/JPY Yearly Highs At 159.76

For now, the 159.76 level is likely to be swarmed by the sellers and will send the cross lower once it reaches there. Next up is the 160.00 level, which is also important and should be watched by the traders.

Against this backdrop, the EUR/JPY is geared towards upside in the long-term as long as it trades above the 200 SMA on the daily chart. Today, the 200 SMA is present near the 150.79 on the daily chart, while the 20 SMA is located at the 157.6. If we look at the medium-term trend, the 50 SMA is present at 157.93, along with the 100 SMA at 156.63.

Furthermore, the S1 (pivot point) on the EUR/JPY D1 is at 158.4 long, while the S2 is at 158.06. Given the strength in the EUR/JPY, the cross is highly unlikely to touch these levels.

On the upside, we have the R1 (pivot point) at the 159.01 while the R2 (pivot point) is at the 159.01. Next up is the R3, located at 159.62, which will also prove to be a hurdle for the EUR/JPY traders.

For now, the cross is present at 159.06 while the 2023's high is present at 159.76, which means there's a difference of 70 pips between these two points. On the other hand, the 200 SMA is present at 150.79, which is almost a distance of 850+ pips.

That's why it is safe to say that the EUR is absolutely dominating the JPY (Japanese Yen), which also shows the weakness of the JPY.

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