EUR/JPY Price Analysis: Rebound now targets the 2021 highs

• EUR/JPY adds to recent gains and approaches the 132.00 yardstick.
• Immediately on the upside comes in the YTD peaks near 132.40.

EUR/JPY advances to new weekly/monthly tops in levels just shy of the 132.00 level at the end of the week.

The weekly leg lower met contention in the 131.00 neighbourhood so far, sparking the ongoing rebound and allowing at the same time a potential visit to 2021 highs in the 132.35/40 band in the near-term (April 29).

On the other hand, occasional bearish moves are expected to struggle around 131.00 for the time being. A breach of this area carries the potential to extend the leg lower to the 130.00 zone, where converge the 50-day SMA and the immediate support line (off the March’s low). This area should hold the downside and prompt some reversion.

In the broader picture, while above the 200-day SMA at 126.45 the broader outlook for the cross should remain constructive.

EUR/JPY daily chart