GBP/JPY Daily Outlook
Daily Pivots: (S1) 183.51; (P) 185.40; (R1) 186.50;
GBP/JPY dips mildly as the consolidation pattern from 189.70 continues. Deeper decline could be seen but at this point, we'd expect strong support from 181.09, 38.2% retracement of 168.01 to 189.70 at 181.41, to contain downside and bring rebound. Above 187.79 will target a test on 189.70 high first. However, firm break of 181.41 would at least bring deeper decline to 61.8% retracement at 176.29.
In the bigger picture, the up trend from 116.83 is still in progress for 61.8% retracement of 251.09 to 116.83 at 199.80, which is close to 200 psychological level. On the downside, break of 168.01 support is needed to confirm medium term topping. Otherwise, outlook will stay bullish in case of pull back.
EUR/JPY Daily Outlook
Daily Pivots: (S1) 144.02; (P) 144.67; (R1) 145.21;
EUR/JPY dropped to as low as 143.60 so far today and intraday bias remains on the downside for the moment. Current fall from 149.76 is viewed as a correction. And, while further fall might be seen, we'd expect strong support from 142.08, 50% retracement of 134.13 to 149.76 at 141.94, to contain downside and bring rebound. Above 145.57 minor resistance will turn bias back to the upside. However, sustained break of 142.08 will at least bring deeper fall through 61.8% retracement at 140.10.
In the bigger picture, the up trend from 94.11 long term bottom is still in progress for 76.4% retracement of 169.96 to 94.11 at 152.59 next. Break of 152.59 will target a test on 169.96 (2008 high). On the downside, break of 134.13 is needed to confirm medium term reversal. Otherwise, outlook will stay bullish.
