• EUR/JPY’s weekly price action meets resistance near 132.70.
• Further upside is expected to re-test 133.00 ahead of YTD highs.

EUR/JPY moved into a consolidative phase in past sessions, although the upside remains contained by the 20-day SMA around 132.70/80.

The recovery looks stuck, however, and the cross needs to clear this resistance area ideally in the short term to allow for further upside. Against this, the next hurdle comes in at the 133.00 yardstick ahead of the 2021 highs at 134.12 (recorded on June 1).

The daily RSI navigates near the 50 level, supporting the view of further rangebound in the near term.

In the broader picture, while above the 200-day SMA at 127.76 the broader outlook for the cross should remain constructive.

EUR/JPY DAILY CHART