Price action is choppy on the EUR/JPY currency pair chart this week hovering at the highest price level since 2008.
If a bullish pattern was displayed at the beginning of the week, the price showed a drop again in yesterday's Tuesday trading.
The Euro moved erratically in line with the US dollar as markets cautiously awaited the annual Jackson Hole Symposium conference later this week.
While the Yen is seen to have an advantage in the risky market sentiment, investors are wary of the uncertainty of the central bank's monetary policy in Japan in addition to being prepared for the risk of central bank intervention at any time in the market.
In yesterday's Asian session, the price on the EUR/JPY chart moved flat as it hit its highest level since 2008, reaching the 150.00 level which surpassed last week's high.
Then, the price plunged again to the level of 158.100 in the New York session and passed the Moving Average 50 (MA50) level in the 1-hour time frame on the chart, indicating a bearish movement.
If the price decline continues again, the level reached at the end of last week around 157.700 will be tested and attempted to be broken.
A further move lower beyond that zone would expect the price to head towards the next level of concentration at 157.00.
On the other hand, if the price reverses to make a rise again, the highest zone of 150.00 will be tested again which is now a resistance for the price.
Crossing the MA50 barrier will also signal a trend change and the price has the potential to continue hunting for the latest record high after that.
