Next up barrier comes at the YTD highs

• EUR/JPY improves further and adds to Tuesday’s uptick.
• Next on the upside emerges the 2023 peak around 159.80.

EUR/JPY extends the weekly rebound and pokes with the so far monthly peaks in the mid-158.00s on Wednesday.

In the meantime, the cross continues to face some side-lined trading prior to the potential resumption of the uptrend. That said, a minor hurdle emerges at the so far monthly highs around 158.50 (September 5-7) ahead of the 2023 top at 159.76 (August 30) and before the key round level at 160.00. The surpass of the latter should not see any resistance level of note until the 2008 high at 169.96 (July 23).

So far, the longer term positive outlook for the cross appears favoured while above the 200-day SMA, today at 148.57.

EUR/JPY daily chart