• EUR/JPY may rise toward the all-time high of 187.95.
• The 14-day Relative Strength Index near 58 indicates positive momentum without overbought conditions.
• The primary support lies at the 50-day EMA at 184.86.

EUR/JPY inches higher after three days of gains, trading around 186.60 during Asian hours on Friday. The technical analysis of the daily chart indicates the currency cross is positioned slightly below the ascending channel, signaling potential for a bearish reversal.

However, the EUR/JPY cross holds a constructive bullish bias as it remains above the 50-day Exponential Moving Average (EMA) while facing immediate friction at the nine-day EMA.

Additionally, the 14-day Relative Strength Index sits around 58, comfortably above the midline yet below overbought territory, which suggests positive but not overstretched momentum that could favor further upside as long as the EUR/JPY cross holds over the underlying average.

The EUR/JPY cross is testing the immediate barrier at the nine-day EMA of 186.69. A rebound back to the ascending channel would reinforce the bullish bias and support the EUR/JPY cross to test the all-time high of 187.95, which was recorded on April 17. Further advances above this level would support the currency cross to explore the region around the upper boundary of the channel, around 189.40.

On the downside, further declines would put downward pressure on the EUR/JPY cross to navigate the region around the 50-day EMA at 184.86.

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