EUR/JPY Trades Below 169.00 After Hitting 11-Month Highs Amid Overbought Signals

EUR/JPY Pulls Back Below 169.00 After Reaching 11-Month Highs

June 24, 2025 – Asian Trading Hours
The EUR/JPY currency pair is trading around 168.80 in Tuesday’s early Asian session, following a retreat from a fresh 11-month high of 169.72 recorded on Monday. The cross broke a three-day winning streak, with technical indicators suggesting a potential near-term pullback.

RSI Indicates Overbought Conditions

The 14-day Relative Strength Index (RSI) continues to hold above 70, which is typically considered an overbought zone, signaling caution for traders expecting further gains without a correction.

“While momentum remains bullish, the RSI indicates that a temporary price cooling may occur,” analysts said.

Key Technical Levels to Watch

• Immediate Support lies at the 9-day EMA, currently positioned at 167.51. A break below this may confirm a short-term consolidation phase.
• On the upside, 168.90 aligns with the top of the ascending channel pattern, which the pair is now attempting to break.
• A sustained move above 169.00 could validate a breakout and push EUR/JPY toward the 170.00 psychological barrier.

Ascending Channel Remains Intact

The currency pair remains within a strong ascending channel, keeping the broader bullish trend intact. As long as EUR/JPY holds above EMA support, upside momentum may resume after minor corrections.

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• RSI Explained: Spotting Overbought & Oversold Forex Signals
• EUR/USD Trends Amid Euro Strength – Full Analysis
• How to Trade Ascending Channels in Forex