EURJPY: Bearish Pressure Persists Below 176.77 Resistance

In this comprehensive analysis, Ultima Markets brings you an insightful breakdown of EURJPY for October 28, 2026.

Technical Analysis of EURJPY

EURJPY Daily Chart Insight

(EURJPY Daily Chart, Source: Ultima Markets MT5)

EURJPY remains firmly bearish on the daily timeframe, extending its downward trajectory following the sharp selloff that began in late August. The pair has continued forming lower highs and lower lows, with recent attempts to recover failing to establish sustained buying momentum. Price is currently trading around 175.59, well below the declining red 16-period moving average (MA16), purple 50-period moving average (MA50), and blue 100-period moving average (MA100).

The bearish alignment of all three moving averages reinforces the broader downward trend, while the daily RSI at 32.48 indicates persistent selling pressure. Recent price action shows the pair consolidating near its latest lows, suggesting that sellers continue to hold the advantage despite the possibility of a temporary technical rebound. The immediate focus remains on whether support around 175.35–175.60 can withstand further selling pressure, as a sustained breakdown could expose the recent low near 174.75. Conversely, a meaningful recovery would require buyers to reclaim the 176.60–177.20 resistance region before challenging higher levels.

Key Levels:

• Support 1 (175.35–175.60): Immediate support surrounding the latest trading range, where price is attempting to stabilise after the recent decline.
• Support 2 (174.75–175.00): The lower support region marked by the recent daily candle wick, representing the next downside area if selling pressure intensifies.
• Resistance 1 (176.60–177.20): Immediate resistance near the declining red MA16 and recent price structure, where renewed selling pressure could emerge.
• Resistance 2 (177.80–178.45): A previous rebound area that may present stronger resistance if buyers regain momentum.
• Resistance 3 (179.70–180.30): A higher resistance region surrounding the declining purple MA50 and an earlier recovery high.

EURJPY 2-Hour Chart Analysis

(EURJPY 2-Hour Chart, Source: Ultima Markets MT5)

The 2-hour chart maintains a bearish outlook following the sharp breakdown on October 21, which pushed EURJPY below its major moving averages. Price is currently hovering around 175.61, beneath the declining red 16-period moving average (MA16), purple 50-period moving average (MA50), and blue 100-period moving average (MA100). Their bearish alignment continues to favour sellers, while recent price action shows a narrow consolidation after the initial selloff, with recovery attempts repeatedly encountering resistance around 176.00–176.40.

RSI at 39.67 remains below the neutral 50 level, suggesting that bearish momentum persists despite the recent sideways movement. Although the pair may experience a temporary rebound as selling pressure moderates, the absence of a sustained recovery above its moving averages leaves the broader short-term structure vulnerable to further declines.

Breakout Scenarios:

• Bullish continuation is a possible countertrend scenario, triggered by a decisive break and hold above 176.40, which would clear the recent consolidation highs and the nearby purple MA50. A sustained recovery could subsequently target the declining blue MA100 around 176.80–176.85, followed by the 177.20–177.45 resistance region.
• Bearish correction is the higher-probability scenario, triggered by a failure to hold the 175.39–175.60 support region, followed by a decisive breakdown below 175.39. This could expose the recent swing low around 175.18, with further downside risk extending towards the 174.98 area.

EURJPY Pivot Indicator

(EURJPY 30-Minute Chart, Source: Trading Central)

On the 30-minute timeframe, EURJPY is trading around 175.82, slightly above the key pivot support at 175.57, maintaining a conditional bullish preference despite the broader bearish structure. Price has been consolidating within a relatively narrow range, with the latest candles showing limited directional momentum. The RSI stands at 46.25, remaining below the neutral 50 level and indicating that buying pressure has yet to strengthen convincingly.

MACD is hovering near -0.04, with its lines appearing relatively flat, reflecting subdued momentum and an absence of strong bullish confirmation. Although holding above 175.57 keeps the immediate recovery scenario intact, a sustained improvement in momentum is required before buyers can challenge the higher resistance targets.

• Bullish Breakout: A sustained hold above the 175.57 pivot, accompanied by a recovery above the current 175.82 price region, would preserve the bullish preference. The first upside target stands at 176.77, followed by 177.03 if buying momentum strengthens. Confirmation would be supported by the RSI recovering above 50 and the MACD turning higher with a bullish crossover.
• Bearish Rejection: A decisive breakdown below the 175.57 pivot would invalidate the immediate bullish preference and shift the short-term outlook bearish. The first downside target is located at 175.14, followed by 174.88 if selling pressure accelerates. Further deterioration in the RSI below its current 46.25 reading, alongside a weakening MACD and a bearish crossover below the zero line, would reinforce the downside scenario.

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