The EUR/JPY pair saw a decline to 164.72 on Friday, indicating a bearish trend with daily losses. Despite this, the pair remains above key Simple Moving Averages (SMAs), suggesting continued dominance by buyers.
The daily Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) both show negative trends, indicating increasing selling pressure in the market.
On the hourly chart, RSI hovers around 40, suggesting a bearish sentiment and dominance by sellers. The MACD shows a lack of buying momentum with flat green bars.
While the EUR/JPY remains above its longer-term SMAs of 100 and 200 days, signaling bullish momentum in the medium and long term, the fall of the 20-day SMA points to a bearish short-term outlook. Bears may target the 100-day SMA at 161.70, which could further worsen the technical outlook if breached.