The single European currency traded between the range of 120.33/119.78 on Thursday. The currency pair tested the monthly S1 at 120.33 during the Asian session on Friday.
All things being equal, it is likely that the EUR/JPY exchange rate will edge higher. The potential target for bullish traders will be near the 200– hour simple moving average at 121.75.
However, technical indicators suggest that the currency exchange rate might continue to decline in the descending channel pattern during the following trading session.