GBP/JPY Daily Outlook
Daily Pivots: (S1) 167.99; (P) 168.67; (R1) 169.41;
Intraday bias in the GBP./JPY remains on the downside for the moment. As noted before, the rebound from 163.87 has finished at 173.57 already. Fall from there is viewed as the third leg of the correction pattern from 174.84. Deeper decline would be seen for 163.87 key support next. On the upside, above 170.16 minor resistance will turn bias neutral and bring some consolidations before staging another decline.
In the bigger picture, the up trend from 116.83 (2011 low) might still extend to above 174.84. Nonetheless, upside momentum is rather unconvincing as seen in weekly MACD. Thus, even in that case, we'd expect strong resistance from 50% retracement retracement of 251.09 to 116.83 at 183.96 to limit upside. Meanwhile, sustained break of 163.87 support should confirm medium term topping at 174.84 and bring deeper decline to 147.61/156.77 support zone next.
GBP/JPY Hourly Chart" title="GBP/JPY Hourly Chart" width="474" height="242">
GBP/JPY Daily Chart" title="GBP/JPY Daily Chart" width="474" height="242">
EUR/JPY Daily Outlook
Daily Pivots: (S1) 140.47; (P) 140.98; (R1) 141.53;
Intraday bias in the EUR/JPY remains mildly on the downside for the moment. The rebound from 136.22 might have completed at 143.78 already and fall from there could be the third leg of the correction pattern from 145.68. Break of 138.78 support will confirm this case and target 136.22 and below. On the upside, above 142.23 minor resistance will turn bias neutral first.
In the bigger picture, loss of upside momentum was seen in bearish divergence condition in daily and weekly MACD. However, EUR/JPY is so far holding above 135.50 key support. Thus, there is no confirmation of trend reversal yet. Break of 145.68 will extend the up trend from 94.11 towards 76.4% retracement of 169.96 to 94.11 at 152.59 before topping. Meanwhile, break of 135.50 will confirm reversal and target 124.95 support.
EUR/JPY Hourly Chart" title="EUR/JPY Hourly Chart" width="474" height="242">
EUR/JPY Daily Chart" title="EUR/JPY Daily Chart" width="474" height="242">