EURJPY surges to a new record high, but intervention risks loom large

EURJPY extended its strong uptrend, reaching new record highs as the yen remained under pressure following dovish remarks from Japan’s Prime Minister, whose administration signaled a preference for maintaining low interest rates.

Meanwhile, comments from the Finance Minister expressing concern over the yen’s persistent weakness served as a verbal warning of potential intervention by Japanese authorities to support the currency.

The pair moved into uncharted territory, approaching the key psychological 180 level, where bullish momentum may face resistance amid overbought daily conditions and a diverging momentum indicator.

The broader technical outlook remains firmly bullish, with any corrective dips expected to hold above the 178.00 area—supported by the rising daily Tenkan-sen—to preserve the broader uptrend. However, a sharp reversal cannot be ruled out if official intervention takes place.

Res: 180.00; 180.37; 180.75; 181.00
Sup: 179.22; 178.80; 177.75; 177.30