EUR/JPY Bullish Continuation: Targeting Higher Levels on Intraday Strength

Market Structure and Technical Confluence

The EUR/JPY pair is clearly exhibiting a strong bullish trend, currently trading around 162.82. We've seen a solid 0.38% gain over the last 24 hours, pushing the price comfortably above key support levels. The daily range from 161.89 to 163.76 highlights the underlying strength, with the market consistently finding buyers on dips. My analysis shows that the 161.89 level, which marked the low of the day, is acting as robust intraday support. Below that, the 160 handle serves as a significant psychological and technical floor, reinforced by institutional order flow. The data is compelling: the market is respecting these higher lows, indicating a continuation of the uptrend.

Intraday Long Setup

Given this bullish backdrop, I'm looking for an intraday long entry on EUR/JPY. My preferred entry point is around 162.5. This allows for a slight pullback from current levels, offering a better risk-reward entry within the existing bullish momentum. My stop-loss is set firmly at 161.0. This placement is strategic, just below the immediate support at 161.89 and the psychological 161 handle, ensuring we cut losses if the market structure breaks down. For targets, I'm eyeing 165.5. This profit target aligns with the potential for a move towards the higher resistance levels of 170 and 175, leveraging the existing bullish sentiment to capture a significant swing.

Fundamental Tailwinds and Risk Management

While my primary approach is technical, it's crucial to acknowledge the fundamental undercurrents. The divergence in monetary policy rhetoric between the ECB and