GBP/JPY Daily Outlook
Daily Pivots: (S1) 146.25; (P) 146.70; (R1) 147.09;
GBP/JPY retreated notably after hitting 147.13 and intraday bias is turned neutral again. On the upside, above 147.13 will extend the rebound from 145.25 to 149.30/99 resistance zone. On the downside, below 145.25 will resume the fall from 149.30 to 143.18/76 support zone instead.
In the bigger picture, decline from 156.59 is seen as a corrective move. In case of another fall, strong support should be seen above 139.29 cluster support (50% retracement of 122.36 to 156.59 at 139.47) to contain downside and bring rebound. Meanwhile, break of 153.84 should confirm that the correction is completed and target 156.59 and above to resume the medium term up trend.
EUR/JPY Daily Outlook
Daily Pivots: (S1) 129.83; (P) 130.47; (R1) 130.91;
EUR/JPY dips notably after hitting 131.13 and intraday bias is turned back to the downside for 129.10 support. Break will extend the fall from 131.97 and target 127.13 support. On the upside, above 131.13 will likely resume the rebound from 124.61 thorugh 131.97.
In the bigger picture, for now, medium outlook remains cautiously bullish. the three wave structure of the fall from 137.49 to 124.61 argues that it’s a correction. Also, 124.08 key resistance turned support was defended. Break of 133.47 resistance will affirm the bullish case that rise from 109.03 (2016 low) is still in progress for another high above 137.49. And this will remain the favored case as long as 127.13 support holds.
