FxWirePro- EURJPY Trade Idea

The EUR/JPY holds above 160 on a strong Euro. It hit a high of 161.18 and is currently trading around 160.45. The intraday outlook is bullish as long as the support 158 holds.

In January 2025, Germany's inflation rate stayed at 2.8%, the same as December 2024. Prices for everyday items, excluding energy and food, rose to 3.6%, partly due to changes in how prices are measured. Energy prices fell by 1.3%, while food prices increased by 1.9%. Prices for industrial goods went up by 1.2%, and service prices rose significantly by 5.1%. Germany's overall consumer prices dropped slightly from 130.20 to 129.90 points, but are expected to rise in the coming years.

Technical Analysis:

The EUR/JPY pair is trading above the 34,55 EMA and 200-4H EMA in the 4-hour chart.

• Near-Term Resistance: Around 161.20 a breakout here could lead to targets at 161.50/162/163/163.60/164/165/166.65/167
   
• Immediate Support: At 160– if breached, the pair could fall to 158.85/158/157/156.25.
  
  Indicator Analysis (4-hour chart):
• CCI (50): Bullish
   
• Average Directional Movement Index: Neutral

Overall, the indicators suggest a mixed trend

Trading Recommendation:

It is good to buy on dips around 160 with a stop loss at 158.80 for a TP of  164.