• EUR/JPY may retest the upper boundary of the descending channel around 186.00.
• The 14-day Relative Strength Index of 57 suggests upward momentum should persist.
• The primary support appears at the nine-day EMA at 185.33.

EUR/JPY steadies after six days of gains, trading around 185.70 during the Asian hours on Monday. The currency cross is maintaining a constructive bullish bias as it holds above both the nine-day and 50-day Exponential Moving Averages (EMAs).

The alignment of price over short- and medium-term moving averages hints at sustained underlying demand, while the 14-day Relative Strength Index (RSI) around 57 stays in positive territory without yet signaling overbought conditions, suggesting upside pressure could persist as long as these floors remain intact.

The technical analysis of the daily chart suggests the EUR/JPY cross is positioned near the upper boundary of the descending channel pattern around 186.00. The sustained break above the channel would indicate bullish confirmation. Further advance would support the EUR/JPY cross to explore the region around the all-time high of 187.95, recorded on April 17.

On the downside, the primary support lies at the nine-day EMA at 185.33, followed by the 50-day EMA of 184.98. A break below moving averages would revive the bearish bias and put downward pressure on the EUR/JPY cross to navigate the region around the three-month low of 181.87, recorded on March 16, followed by nearly six-month low of 180.81, reached on February 12.

(The technical analysis of this story was written with the help of an AI tool.)