FxWirePro- EURJPY Trade Idea

The EUR/JPY holds well above major trend line resistance. It hit an intraday high of 163.35 and is currently trading around 163.27. The intraday outlook is bullish as long as the support of 161.50 holds.

The date today, March 18, 2025, witnesses Germany's ZEW Economic Sentiment Index release, which is anticipated by experts to surge to 32.0 from 26.0 in February. The forecasted hike comes on the heels of a wide-ranging rebound trend, where the index climbed 152.4% during the previous month and 30.65% over the previous year, aided by improved expectations for private consumption and positive developments at the ECB. The gauge, based on surveys of around 350 financial professionals, reflects expectations about inflation, interest rates, and general economic well-being. Today's release is expected to cast more light on the confidence of investors and economic prospects in Germany and may affect market reactions and economic forecasts in the future.

Technical Analysis:

The EUR/JPY pair is trading above the 34,55 EMA and 200-4H EMA in the 8-hour chart.

• Near-Term Resistance: Around 163.50 a breakout here could lead to targets at 163.87/164.20/165/166.65/167.
   
• Immediate Support: At 162.30– if breached, the pair could fall to 160.40/ 161.80/160.75/59.70/159.25/158.85.
  
  Indicator Analysis 4-hour chart):
• CCI (50): Bullish
• Average Directional Movement Index: Bullish

Overall, the indicators suggest bullish trend

Trading Recommendation:

It is good to buy on dips around 162.35-40 with a stop loss at 161.45 for a TP of 165.