FX.co ★ KHALISA | EUR/JPY

JOURNAL WEDNESDAY OCTOBER 7, 2026 EURJPY

Good morning fellow traders, stay healthy and I hope you continue to profit consistently. Today, Anisa will be returning to her daily journal with the EURJPY pair, which appears to be strengthening. Is this strengthening strong enough to continue? Here, I'll try to look at it from a technical perspective. On the H4 timeframe, EURJPY has currently strengthened to 178,064 and is approaching the middle Bollinger Band area and the 50-EMA (European Moving Average). Previously, the price was under considerable pressure, reaching 176,250 on October 3rd, which coincided with the lower Bollinger Band. After that, the price began to recover impulsively, forming three fairly long bullish H4 candles. Currently, the price is in the lower yellow demand zone of 177,850–178,018, which previously served as a consolidation area. The price's approach to the inner upper Bollinger Band and the red 50-EMA around 178,300 is an important area to watch. If the H4 candles can close strongly above the 50-EMA, the opportunity for EURJPY to continue strengthening will be even greater. The next target is in the supply area of 178,885–179,300, marked by the second yellow box on the chart, in the direction of the black arrow. However, before considering the breakout valid, I will still wait for confirmation of the candle's closing to avoid a false breakout, which often occurs when the price tests dynamic resistance like the 50-day moving average (EMA ). From the MACD indicator (12,24,8), upward momentum is also starting to become clearer. The histogram, which was previously well below the zero line, around -0.4963, is now continuing to rise, passing the red signal line and starting to approach the zero line at -0.0680. If the histogram eventually breaks through the zero line, this will serve as further confirmation that the previous bearish momentum is losing strength. The continued upward price movement since yesterday also supports this picture. In terms of momentum, buying sentiment is starting to increase again as selling pressure has weakened. The shortening of the MACD histogram towards positive territory indicates that bearish momentum is gradually waning and buyers are beginning to take control. As long as the histogram remains above the signal line and doesn't weaken significantly again, the EURJPY's chances of continuing its recovery remain quite high. Overall, the EURJPY is currently in a transition phase from bearish to bullish on the H4 timeframe. The previous downtrend was marked by a downward-sloping 50-day moving average (EMA), but the slope is now starting to flatten, and the price is moving above the middle Bollinger Band. This is an early sign that the market's character is changing, although stronger confirmation is still needed through a subsequent resistance breakout. Today's trading plan is to buy on a breakout. I'm considering a buy around 178,300 if there's confirmation from the H4 candlestick closing above the 50-day moving average (EMA). The first target is 178,885, the nearest supply area, while the secondary target is around 181,055, as indicated by the large arrow on the chart. To limit risk if the breakout fails, a stop-loss can be placed below 177,800. That concludes this journal. I hope this analysis can be a source of discussion and certainly not the sole basis for making trading decisions. I also look forward to discussions and input from fellow traders so we can view EURJPY from a broader perspective and develop a more informed trading plan.