USD/JPY Daily Outlook
Daily Pivots: (S1) 109.43; (P) 109.65; (R1) 110.09;
Intraday bias in USD/JPY remains on the upside at this point. Current rise from 104.62 should target 61.8% retracement of 114.73 to 104.62 at 110.86 next. On the downside, below 108.96 will turn intraday bias neutral again and bring consolidations.
In the bigger picture, break of 108.12 support turned resistance now suggests that corrective fall from 118.65 (2016 high) has completed with three waves down to 104.62. And, rise from 98.97 (2016 low) could be resuming. Focus is back on 114.73 resistance and break there will pave the way to 118.65 and above. This will now be the preferred case as long as USD/JPY stays above 55 day EMA (now at 107.78).
USD/CAD Daily Outlook
Daily Pivots: (S1) 1.2808; (P) 1.2860; (R1) 1.2902;
Despite edging higher to 1.2913, USD/CAD quickly retreated with 4 hour MACD staying below signal line. Intraday bias is turned neutral again for consolidations. For now, further rally is expected as long as 1.2748 minor support holds. Above 1.2913 will extend the rise from 1.2526 to retest 1.3124 high. However, break of 1.2748 will turn focus back to 1.2526 instead.
In the bigger picture, current development suggests that rebound from 1.2061 has not completed yet. Focus is back on 38.2% retracement of 1.4689 to 1.2061 at 1.3065. Sustained trading above there will confirm medium term bullish reversal. That is, down trend from 1.4689 has completed at 1.2061 already. In that case, next target will be 61.8% retracement at 1.3685.
