EUR/JPY has been quite corrective and consolidating above 132.00 for a few days, now it is expected to proceed higher. EUR has been quite stronger against JPY recently, which resulted in impulsive bullish pressure despite the mixed economic reports published this week. Today, JPY Trade Balance report was published with a significant increase to 0.12T from the previous figure of -0.21T which was expected to be at 0.10T. The positive economic report did not quite help JPY to put some bearish pressure on EUR, whereas EUR sustained its impulsive bullish momentum with ease. On the EUR side, today, Current Account report is going to be published which is expected to decrease to 32.3B from the previous figure of 37.6B. As of the current scenario, a certain correction is still expected as Euro Current Account report is forecasted to have dovish outcome, whereas JPY has been quite positive with the economic report today, so a certain retracement can be observed in the market, whereas the trend is still bullish and EUR is expected to push higher in the coming days.
Now let us look at the technical view. The price is currently impulsive with the bullish gains, whereas having certain economic reports to be published yet today, a certain retracement is expected along the way before the price shoots up towards the 134.50-135.00 resistance area in the coming days. Though the current bullish pressure is not impulsive as expected, so a certain consolidation along the way is expected to be a positive sign for the bulls to gain more strength along the way. As the price remains above the 132.00 price area, the bullish bias is expected to continue.
