EUR/JPY may rise to 177.88 - 179.60

Our pivot point stands at 171.75.

Our preference

The upside prevails as long as 171.75 is support.

Alternative scenario

The downside breakout of 171.75 would call for 168.88 and 167.17.

Comment

The RSI is trading above 70. This could mean that either the pair is in a lasting uptrend or just overbought and that therefore a correction could shape (look for bearish divergence in this case). The MACD is above its signal line and positive. The configuration is positive. Moreover, the price is above its 20 and 50 period moving average (respectively at 170.93 and 168.85).

Supports and resistances

183.03 **

181.31 *

179.60 **

177.88

174.21 last

172.88

171.75 **

168.88 *

167.17 **

Number of asterisks represents the strength of support and resistance levels.