sThe EUR/JPY pair has recently broken out of a long-term range, signaling potential for significant upside. The pair is currently trading above key technical levels, suggesting that bullish momentum is strong.
Key Technical Indicators:
- Breakout: The decisive break above the range high indicates a shift in market sentiment and a potential for a sustained uptrend.
- Moving Averages: The pair has moved above the 100-day and 200-day Simple Moving Averages, further confirming the bullish trend.
- RSI: The Relative Strength Index (RSI) is not yet overbought, suggesting that there is room for further upside.
Potential Scenarios:
- Upside: A sustained break above the 164.90 level could lead to a move towards the 169.68 target.
- Downside: A break below the 161.85 level could signal a return to the range-bound pattern.
Overall Outlook:
The EUR/JPY pair is in a strong uptrend, and the recent breakout suggests that the bullish momentum is likely to continue. However, traders should monitor technical indicators and economic news for potential shifts in market sentiment.
