The euro witnessed a rise against the yen after the Central Bank of Japan decided to adhere to its loose monetary policies without any change in interest rates after its last monetary policy meeting for 2023, despite the decline in European inflation numbers represented by the consumer price index. Despite the decline in inflation from the levels of 2.9% to the levels of 2.4%, contrary to expectations of a decline to 2.7%, i.e. a decrease more than expected, which in turn negatively affects the performance of the euro, the general weakness in the performance of the dollar led to continued demand for the euro.

It is also noteworthy that the euro against the yen was also affected by the Central Bank of Japan maintaining its same lenient policies, which led to the yen's weakness. The yen has risen in recent days due to traders starting to price in rising interest rates to exceed the negative zone shortly.

Technically, the pair has risen by 1.1% from the closing price of the last session at the time of writing. So, trading is now in a consolidation zone between 157.80 and 154. Technical indicators, such as the Relative Strength Index, indicate bullish signals above the 50 line, and the MACD also indicates the upward direction of the indicators.

If the horizontal channel is breached upward and a top higher than the price of 157.80 is formed, we may witness a further rise to the levels of 159.00-159.60. In addition, we may witness a retest of the upper border of the horizontal channel to form a lower bottom than the previous one. Thus we may see confirmation of a new upward trend movement.
If 157.80 levels fail to be breached and prices return within the consolidation channel, we may see them return to moving in the same range.
 

*All data provided is intended for educational or informational purposes only and should not be considered investment advice.