News
7x24
Quotes
Economic Calendar
Video
Data
- Names
- Latest
- Prev.
EUR/JPY Rises Ahead of Fresh ECB Commentary
Traders' Opinions
Summary:
EUR/JPY advanced on Monday as the Euro benefited from growing expectations of another European Central Bank rate hike, while the Japanese Yen lagged despite persistent expectations that the Bank of Japan will maintain a gradual path toward policy normalization.
Buy
TradingEURJPY
EXP
185.249
Entry Price
189.800
TP
184.200
SL
185.270 +0.009 +0.00%
0
Point
Flat
184.200
SL
CLOSING
185.249
Entry Price
189.800
TP
The Euro strengthened against the Japanese Yen on Monday, with EUR/JPY climbing toward the 185.25 area as investors increased bets that the European Central Bank could deliver another interest rate hike later this year. The move came despite expectations that Japan's inflation will remain above the Bank of Japan's 2% target, a backdrop that would normally support the Yen.
Recent reports suggest the Bank of Japan may revise its economic growth forecasts higher in its July outlook while continuing to warn that inflation risks remain tilted to the upside. Although this reinforces expectations for a gradual normalization of Japanese monetary policy, the Yen struggled to capitalize as investors focused on the stronger policy outlook in Europe.
The Euro found additional support from renewed inflation concerns after tensions between the United States and Iran intensified again, pushing energy prices higher. With the Strait of Hormuz once again facing disruption, markets are increasingly concerned that elevated oil prices could keep inflation pressures persistent, strengthening the case for another ECB rate increase.
Analysts at MUFG continue to expect the ECB to raise interest rates by 25 basis points in September, while investors now await fresh comments from ECB policymakers for further guidance on the inflation outlook. In my view, EUR/JPY is likely to remain supported as long as expectations for tighter ECB policy continue to outweigh the Bank of Japan's gradual approach to monetary normalization.
Technical Analysis
EUR/JPY continues to respect a broad ascending channel on the daily chart, suggesting the longer-term trend remains tilted to the upside despite recent bouts of volatility. Price is currently trading around 185.30, holding comfortably above channel support while consolidating beneath a key resistance band that has repeatedly rejected bullish advances over the past several weeks.
The recent pullback found buyers near the 184.40–184.60 support area, which aligns with both the lower trendline of the ascending channel and a previous horizontal resistance level that has now turned into support. The swift recovery from this zone indicates that buyers remain active on dips and continue to defend the broader uptrend.
Attention now shifts to the 186.20 resistance level, a ceiling that has capped multiple rallies since late January. A decisive daily close above this barrier would represent a significant technical breakout, confirming fresh bullish momentum and exposing the 187.80 region as the next upside objective. If buying pressure remains strong, the rally could eventually extend toward the upper boundary of the ascending channel near 189.50–190.00.
On the other hand, failure to maintain support above 184.50 would weaken the current recovery and increase the likelihood of a deeper correction. Initial downside targets would emerge around 182.60, followed by the stronger support zone near 181.00, where previous buying interest has consistently returned. A sustained move beneath that region would be the first meaningful indication that the broader bullish trend is beginning to lose momentum.
Although the pair remains trapped between support and resistance, the overall technical picture continues to favor buyers. The series of higher swing lows remains intact, and price continues to trade within the boundaries of the long-term ascending channel, indicating that the prevailing trend has yet to be challenged. Bulls, however, still require a confirmed breakout above 186.20 before a stronger directional move can unfold.
TRADE RECOMMENDATION
BUY EUR/JPY
ENTRY PRICE: 185.25
STOP LOSS: 184.20
TAKE PROFIT : 189.80
Risk Warnings and Investment Disclaimers
You understand and acknowledge that there is a high degree of risk involved in trading with strategies. Following any strategies or investment methodologies is the potential for loss. The content on the site is being provided by our contributors and analysts for information purposes only. You alone are solely responsible for determining whether any trading assets, or securities, or strategy, or any other product is suitable for you based on your investment objectives and financial situation.
Quick Access to 7x24
Quick Access to More Editor-selected Real-time News
Exclusive video for free
FastBull project team is dedicated to create exclusive videos
Real-time Quotes
View more faster market quotes
More comprehensive macro data and economic indicators
Members have access to entire historical data, guests can only view the last 4 years
Member-only Database
Comprehensive forex, commodity, and equity market data
English
English
العربية
繁體中文
简体中文
Bahasa Melayu
Bahasa Indonesia
ภาษาไทย
Tiếng Việt
Copyright © 2026 FastBull Ltd
Home News Columns 7x24 Economic Calendar Quotes Video Data WarehouseAnalysis AI Signal Pro User Agreement Privacy Policy About Us
Risk Disclosure
The risk of loss in trading financial assets such as stocks, FX, commodities, futures, bonds, ETFs or crypto can be substantial. You may sustain a total loss of the funds that you deposit with your broker. Therefore, you should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources.
No consideration to invest should be made without thoroughly conduct your own due diligence, or consult with your financial advisors. Our web content might not suit you, since we have not known your financial condition and investment needs. It is possible that our financial information might have latency or contains inaccuracy, so you should be fully responsible for any of your transactions and investment decisions. The company will not be responsible for your capital lost.
Without getting the permission from the website, you are not allow to copy the website graphics, texts, or trade marks. Intellectual property rights in the content or data incorporated into this website belongs to its providers and exchange merchants.