EUR/JPY is seeing some selling pressure around 164.40 in the early European session on Friday. The cross has been trading below the key Exponential Moving Averages (EMA) and the Relative Strength Index (RSI) is in oversold territory. The first target on the downside is at 163.67, while resistance is expected around 165.90–166.00.
The bearish sentiment persists for EUR/JPY as it remains below the 100-period EMA on the four-hour chart. The RSI is also signaling bearish conditions. The first downside target is at 163.67, with further support at 163.00 and 162.28. On the upside, resistance is at 165.90–166.00, followed by 167.38 and a yearly high of 168.95.
Overall, EUR/JPY is facing selling pressure due to speculation of Japanese intervention in the foreign exchange market, supporting the Japanese Yen and weighing on the Euro. Further consolidation is possible before any significant movement in the cross.