The EURJPY pair witnessed substantial upward pressure last Friday, effectively warding off a negative assault and signaling the emergence of a new corrective bullish rally. This surge pushed the pair towards the 160.65 mark. The price structure suggests the formation of a minor bullish channel, and its consistent trading above the support line at 160.10 encourages a positive outlook in the short term. The next logical target in this scenario is the 160.95 level, and a breakthrough beyond it may pave the way for further advances towards the significant resistance at 161.45.
On the flip side, if the pair breaches the aforementioned support line of the minor channel and registers new bearish closures, it would confirm a return to the bearish bias. Such a move could give rise to the development of robust bearish waves with potential downside targets at 159.65, followed by 158.80 levels.
The projected trading range for today is expected to fluctuate between 160.35 and 160.95.
The prevailing trend for today is distinctly bullish.