After the positive news for the machinery orders and Japan corporate goods price index, the yen surged, which is expressed as a decline in EUR/JPY and USD/JPY.
In short term, the price of EUR/JPY found the triple support in the zone of 138.70 and MA(200) on the hourly time frame. RSI is around 25, which means that the currency is currently bought.
On a daily time frame of USD/JPY, we saw a ascending right triangle, which is penetrated and tested by the price at the level of 121.92. If the test is successful, we expect the price to go up to the resistance level of 125.85.
On both currency pairs we see a bullish butterfly on the hourly time frame, which indicates an upward movement.
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