The EUR/JPY prints back-to-back positive sessions but stays at around 147.62, almost unchanged, as Thursday’s price action formed a doji. Once the EUR/JPY reached a multi-year high at around 148.63, it was followed by a mean reversion move, ahead of the BoJ’s monetary policy decision, later in the day. At the time of writing, the EUR/JPY is trading at 147.64, gains 0.03%, as the Asian session starts.

EUR/JPY Price Action

From a daily chart perspective, price action looks headed upward. However, sellers stepped in as the RSI indicator exited from overbought conditions, dragging the EUR/JPY’s price toward its weekly low of 146.28. Since then, the EUR/JPY reclaimed 147.00, though the pair is trading sideways within the 147.10-90s area.

Near-term, the EUR/JPY 4-hour chart suggests the pair is consolidating at around the 50 and 20-EMAs. After dropping to its weekly low, the EUR/JPY recovered some ground and aimed toward 147.49, clearing the 50 and 20-EMA. Since then, the EUR/JPY has faced solid resistance at around 147.90-147.99, unable to reclaim 148.00. If EUR/JPY cannot crack 148.00, expect further downside, with the pair testing support at the confluence of the 50-EMA and the S1 pivot at 147.16-24, followed by the S2 pivot at 146.72. additional downside risks are expected at 146.47, followed by the S3 pivot at146.31.