EUR/JPY Price Analysis: Cross faces further correction as bulls retreat

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EUR/JPY Price Analysis: Cross faces further correction as bulls retreat
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During Thursday's session, the EUR/JPY pair extended its correction to a daily low of 169.00 before stabilizing around 170.00.

The daily RSI is pointing downwards, standing near 70, and the MACD has printed a fresh red bar, indicating a deeper consolidation phase. On the hourly chart, indicators have flattened in the negative terrain, affirming an extended correction phase. The EUR/JPY's position above main SMAs continues to support a long-term bullish sentiment. During Thursday's session, the EUR/JPY pair extended its correction to a daily low of 169.00 before stabilizing around 170.00.

EUR/JPY daily chart On the hourly chart, indicators have flattened in the negative area. This signals a reinforcing of the ongoing correction phase, likely a response to recent gains. EUR/JPY hourly chart Significantly, the current position of the EUR/JPY pair above the 20-day SMA at 168.70, although being tested, keeps the near-term bullish sentiment intact. Movements below this might fundamentally shift the bullish scenario.

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