The cross trades below its 50-day EMA with RSI at 44, signaling soft bearish momentum amid Japan’s intervention-driven yen positioning shift.
EUR/JPY stabilizes around 183.10 in European trading after prior losses, remaining below its 50-day Exponential Moving Average (EMA). The 14-day Relative Strength Index at 44 indicates weak but steady bearish pressure following a recent decline.
The cross clings to short-term support at the nine-day EMA (183.06), with a break below risking a drop toward the August 3 eight-month low of 179.37. Resistance lies at the 50-day EMA (184.57), with further gains needed to shift sentiment bullish.
Analysts attribute yen strength to Japan’s market intervention rather than improved fundamentals, noting a sharp reduction in speculative short yen positions to 10.8% of CFTC data.