- EUR/JPY records gains in the Asian session.
- Bulls remains in control above 134.00
- MACD trades in positive trajectory signaling additional gains.
EUR/JPY moving higher with remarkable gains on Wednesday. The cross is on the verge to break the previous four session’s hurdle near 134.05.
At the time of writing, EUR/JPY trades at 133.97, up 0.24% for the day.
EUR/JPY 4-hour chart
On the 4-hour chart, the EUR/JPY cross has been consolidating near the 134.00 mark. The multiple top formations make it a critical level to trade. The cross-currency pair moves along the upward trendline from the lows of 132.58.
EUR/JPY could move higher toward the 134.20 horizontal resistance level if price breaks the session’s high decisively.
The Relative Strength Index (RSI) trades above 50, which signifies more upside gains for the cross. In doing so, the EUR/JPY could retest the levels last seen in 2017.
Market participants could target the December 2017 high at 135.51 followed by the high of January 2018 at 136.63.
Alternatively, if price breaks below 133.80, then it could invite EUR/JPY bears to retrace back to the 133.60 and 133.40 horizontal support level. The latter would also coincide with the breaking of the bullish sloping line.
The price action would open the gates for the 133.00 horizontal support area next.