FX.co ★ Konnect2fx | EUR/JPY

The EUR/JPY daily chart is showing a broadly bullish structure, but the pair is currently moving through a period of consolidation after a strong rally earlier in the year. Price is trading around 185.25 and remains above the major support zone near 182.70, which continues to act as an important foundation for buyers. Looking at the chart, I can see that the market experienced a strong upward movement during April, reaching highs near 187.00 before entering a corrective phase. Since then, EUR/JPY has been trading within a relatively stable range, suggesting that traders are evaluating whether the next major move will be a continuation of the longer-term uptrend or a deeper correction. The recent candles indicate that buyers have returned after the decline seen at the end of May, helping the pair recover from lower levels. The moving average is flattening, which often signals a temporary balance between buying and selling pressure. I think this is an important sign because it suggests that the market is building a base rather than entering a strong bearish trend. The RSI is trading close to the neutral 50 level, showing that momentum is neither strongly bullish nor strongly bearish at the moment. This supports the idea that EUR/JPY is currently in a waiting phase. Volume activity also appears relatively stable, indicating that there is no panic selling or aggressive buying taking place. As long as the pair remains above the 182.70 support area, the broader bullish outlook remains intact. The market would likely need a decisive daily close below that level before traders begin to consider a larger bearish reversal. Until then, the current pullbacks may continue to attract buying interest from medium-term traders.

Looking ahead, the key resistance level remains around 185.50, followed by the major high near 187.00. I believe a successful breakout above these levels would confirm renewed bullish momentum and could open the way toward higher targets in the coming weeks. The recent price action shows that buyers are gradually attempting to regain control after the correction, and the ability of the market to hold above support suggests underlying strength. From a fundamental perspective, the difference between European and Japanese monetary policies continues to influence this currency pair. The euro has generally benefited from relatively higher interest rates, while the Japanese yen has often remained under pressure due to the more accommodative stance of the Bank of Japan. I think traders will continue to monitor economic data from both regions, including inflation figures, employment reports, and central bank comments, because these factors could determine the next major trend. If economic conditions in the eurozone remain stable and risk sentiment stays positive, EUR/JPY could continue moving higher. However, if global uncertainty increases, investors may seek the traditional safety of the Japanese yen, which could create downward pressure on the pair. For now, the chart suggests that the market is respecting its established range, with support around 182.70 and resistance near 185.50–187.00. I am watching these levels closely because a breakout from this range is likely to provide the next significant trading opportunity. Overall, the long-term trend still favors buyers, but confirmation through a stronger move above resistance is needed before expecting another major bullish expansion.