The set-back taking place in EUR/JPY has resulted in a crossover of the 50-period below the 200-SMA.
Under this signature, the 4hr technical picture for EUR/JPY remains fragile. However, the risks for a short-squeeze rally also exist, which may commence upon a decisive daily close above today’s open. In this scenario, a degree of supply could materialize with a price reaction to the pivotal level charted through the crossover.
Technical blow in 4hr EUR/JPY chart
(Market News Provided by FXstreet)