EUR/JPY Hits Its Most Oversold Since 2024 on French Debt

USD/JPY technical analysis shows an intact long-term uptrend, while EUR/JPY sits at oversold extremes last seen in 2024 on French debt uncertainty.

Razan Hilal, CMT, StoneX Media Market Analyst, walks through how Bank of Japan policy, euro weakness and the U.S. dollar index are shaping the yen crosses. The Bank of Japan's preference for gradual tightening, aimed at anchoring inflation near 2%, keeps the Japanese yen relatively weak and the USD/JPY uptrend channel in place since 2023 intact. That holds even as the U.S. dollar index shows reversal risk, while a move toward multi-decade highs in USD/JPY revives Bank of Japan intervention risk.

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