EURJPY Consolidates at a Crossroads, Awaiting Breakout Confirmation 
Greetings, good morning everyone. Hey, who was watching the FOMC yesterday to trade gold? It was a landslide, right? Sellers were happy, they must have gained significant momentum. But this time, I'm not discussing gold anymore, but rather EURJPY, which I think is equally interesting to watch. Looking at the H4 chart, EURJPY is currently in a fairly long consolidation phase. The price is moving sideways between the resistance area of 179,878 (rounded at 179,880) and the support area of 178,050 (around 178,000). This will determine the next direction. If it breaks above the resistance, the potential for an uptrend will be wide open. However, if it breaks below the support, selling pressure could again dominate. The Bollinger Bands are currently flat, indicating decreasing volatility and the market is holding its breath waiting for the next catalyst. The price is also still touching the red 50-day moving average (MA50), right around the middle band, so the trend is unclear and remains sideways. Structurally, the price had previously fallen quite sharply from above 185 and is now attempting to establish a base below. The yellow area marked on the chart between 179,210 and 179,878 is a key zone to watch, as the price has attempted to rise several times but has always been held back there. As long as the price is unable to close solidly above this yellow zone, the bullish scenario remains unconfirmed. In contrast to the consolidating price action, the MACD indicator is providing quite positive signals. MACD 12, 24, and 8 show a histogram consistently above the red signal line and has even broken above the zero center line at 0.0351. This indicates momentum is starting to reverse and buying sentiment is slowly taking over. The red signal line, previously far below, has now sloped upward, indicating easing selling pressure. In conclusion, the market is currently still in a sideways trend, but the MACD indicator shows growing buyer dominance. I am leaning towards a resistance breakout in the near future. For the trading plan, a buy option would be considered if a valid breakout occurs above 179,878, with an entry around 179,900, a stop-loss at 178,000 below support, and a take-profit at 181,800 as the next psychological resistance target. That concludes today's journal, and happy trading.
