The EUR/JPY trades weak despite strong Euro. It hits an intraday high of 164.19 and is currently trading around 161.43. The intraday outlook is bearish as long as the resistance 164.20 holds.
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With Donald Trump's new tariff policy, the European Union (EU) will be required to pay a 20% tariff on its exports to the U.S. from April 9, 2025, making EU exporters costlier, less competitive, and potentially leading to retaliatory measures by the EU if negotiations collapse. This action may provoke a trade war, increase global protectionism, and further complicate global trade relations, as the EU is preparing retaliatory actions while still open to negotiating
Technical Analysis:
The EUR/JPY pair is trading below the 34,55 EMA and 200-4H EMA in the 4-hour chart.
- Near-Term Resistance: Around 162 a breakout here could lead to targets at 162.60/163/163.36/164.20.
- Immediate Support: At 160.60– if breached, the pair could fall to 160.40/ 159.70/159.25/158.85.
Indicator Analysis 4-hour chart): - CCI (50): Bearish
- Average Directional Movement Index: Neutral
Overall, the indicators suggest a mixed trend
Trading Recommendation:
It is good to sell on rallies around 163.50 with a stop loss at 164.20 for a TP of 160.
