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• The euro's attempts to the downside appeared to have been capped above the 156.00 mark.
• The currency pair was seen consolidating on Friday after the late November decline.  
• Euro bulls may face strong resistance at the 158.45 level.

The euro was looking for direction during a light session on the last trading day of the year. The EUR/JPY currency pair´s reversal from the 158.45 level was contained at the 156.10 support area, with the 157.00 mark capping bulls.

Looking from a broader perspective, the pair appeared to be in a consolidation pattern, following a bearish impulse from November highs above the 164.00 level.

Technical indicators were mixed, with the RSI flat near the 50 level, which may suggest a lack of clear direction. As previously mentioned, the 157.00 level appeared to be closing the path towards key resistance at 158.45, the 50% retracement of the late November sell-off.

On the downside, immediate support was seen at the 156.10 mark, below the 155.35 level, and at the Dec. 14 low of 154.00.

EUR/JPY Four-Hour Chart

(Click on image to enlarge)

EUR/JPY Technical Levels to Watch

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