EUR/JPY Price Analysis: Rises sharply, eyes 145.00

• EUR/JPY is trading at new year-to-date highs above 144.50.
• EUR/JPY Price Analysis: It’s upward biased; in the near term, it might test 145.00.

The EUR/JPY rallies to fresh 2023 highs around 144.54 and is set to extend its gains, past solid resistance around the November 30 daily high of 144.85. At the time of writing, the EUR/JPY is trading at 144.49, above its opening price by 0.49%.

The daily candlestick chart portrays the EUR/JPY as upward biased. As of typing, the cross is piercing a four-month-old downslope resistance trendline, which, if broken, would keep bulls hopeful of driving prices higher. The Relative Strength Index (RSI) supports a bullish continuation, while the Rate of Change (RoC) witnessed a jump in volatility that favors the bulls.

Given the backdrop, the EUR/JPY’s first resistance would be the 145.00 psychological level. A breach of the latter will expose the December 20 daily high at 145.83, closely followed by the 146.00 figure, followed by the December 15 high at 146.72.

As an alternate scenario, the EUR/JPY's first demand zone would be the February 21 high of 144.16, which, once cleared and the EUR/JPY would easily be dragged to the 144.00 mark. If sellers surpassed that area, the 20-day Exponential Moving Average (EMA) at 142.60 would be in play, but first sellers need to clear 143.00.

EUR/JPY Daily chart

EUR/JPY Key technical levels