The currency pair trades near 186.20, supported by bullish technical indicators but faces bearish reversal risks from a rising wedge pattern.
EUR/JPY stabilizes around 186.20 in Asian trading, recovering from two days of losses. The cross holds above the nine-day and 50-day EMAs, reinforcing a near-term bullish outlook. The 14-day RSI at 57.46 suggests moderate upside momentum without overbought conditions.
Technical analysis highlights a rising wedge pattern, signaling potential bearish reversal risks. Resistance is seen near 186.90, with further gains targeting the April 17 all-time high of 187.95. Support levels include the nine-day EMA at 186.01 and the 50-day EMA at 185.33.
A break below these supports could pressure the pair toward March’s five-month low of 181.87 or the seven-month low of 180.81.