- Daily Pivots: (S1) 148.26; (P) 148.88; (R1) 149.48;
The strong rebound from 148.24 and break of 150.92 minor resistances indicates that fall from 154.04 is completed. More importantly, the development suggests that consolidation pattern fro 147.10 is still in progress. Intraday bias is back on the upside for 154.04 resistance. On the downside, below 148.24 will target 147.10. Break will resumption whole fall from 156.77.
In the bigger picture, a medium term top is in place at 156.77 on bearish divergence condition in daily MACD. Deeper pull back could be seen to 38.2% retracement of 118.82 to 156.77 at 142.27. Strong support would likely be seen at 140.37 to bring rebound, at least on first attempt. Overall, we'd still expect whole rise from 116.83 medium term bottom to resume later to 163.05 resistance and above after completing the correction.
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GBP/JPY" width="600" height="600">
EUR/JPY Daily Outlook
- Daily Pivots: (S1) 130.42; (P) 130.98; (R1) 132.03;
Intraday bias in EUR/JPY remains mildly on the upside for the moment. Current development suggests that rebound from 1224.95 is still in progress. Break of 132.73 will target a test on 133.80 high. On the downside, below 129.32 should turn bias back to the downside for 124.95 support and below.
In the bigger picture, current development argues that the medium term up trend from 94.11 has topped out at 133.80 on bearish divergence condition in daily MACD. Correction from there could extend with another fall to target 119.10 cluster support (38.2% retracement of 94.11 to 133.80 at 118.63). Strong support would be seen there, at least on initial attempt. But, break will target 61.8% retracement at 109.27. Nonetheless, considering the five wave structure of the rise from 94.11, we'd expect another medium term rally after completing the correction.
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EUR/JPY" width="600" height="600">