GBP/JPY Daily Outlook
Daily Pivots: (S1) 139.17; (P) 139.66; (R1) 140.13;
GBP/JPY rises to as high as 141.88 so far today. The strong break of 140.08 resistance should affirm our bullish view. That is, consolidation pattern from 148.42 has completed with three waves down to 135.58, after hitting 135.39 fibonacci level. Intraday bias is back on the upside and current rise should extend to 144.77 resistance next. On the downside, break of 139.19 support is needed to indicate short term topping. Otherwise, outlook will remain bullish in case of retreat.
In the bigger picture, price actions from 122.36 medium term bottom are still seen as a corrective pattern. As long as 50% retracement of 122.36 to 148.42 at 135.39 holds, another rising leg would be seen to 38.2% retracement of 195.86 to 122.36 at 150.42 and possibly above. However, firm break of 135.39 will bring retest of 122.36, with prospect of resuming the larger down trend from 195.86.
EUR/JPY Daily Outlook
Daily Pivots: (S1) 116.52; (P) 116.91; (R1) 117.37;
EUR/JPY surges sharply to as high as 120.53 today. The strong break of 118.23 support turned resistance indicates that fall from 124.08 has completed at 114.84 already. Note that firstly, such decline has a three wave corrective structure. And it's contained just by 61.8% retracement of 109.20 to 124.08 at 114.88. Hence, fall from 124.08 to 114.84 is seen as a corrective move. That in turn indicates that rebound from 109.20 is not finished. Intraday bias is turned back to the upside for 122.88 resistance first. Break will extend the whole rise from 109.20 to 126.09 key resistance next. On the downside, though, 117.81 minor support will turn focus back to 114.84 low instead.
In the bigger picture, price actions from 109.20 is still seen as a corrective move for the moment. But current development suggests that the first leg is finished at 109.20, second leg at 114.84. And rise from 114.84 is possibly developing into the third leg. Further rise will now be mildly in favor through 124.08 resistance. Strong break of 126.09 support turned resistance will confirm completion of whole fall from 149.76 at 109.20. In such case, rise fro 109.20 is developing into a medium term move for 141.04 and above.
