GBP/JPY Daily Outlook
Daily Pivots: (S1) 168.55; (P) 169.31; (R1) 169.81;
At this point, the GBP/JPY is still holding on to 169.11 minor support and intraday bias remains neutral. Note that , considering that the cross is limited by near term falling trend line, sustained break of 169.11 will argue that rebound from 163.87 has finished. In such case, intraday bias will be turned back to the downside for retesting 163.87 instead and the correction from 174.84 might extend. On the upside, above 171.88 will target 173.65/174.84 resistance zone.
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 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) 139.36; (P) 140.23; (R1) 141.36;
Intraday bias in the EUR/JPY remains neutral for the moment. On the upside, break of 141.26 will confirm resumption of the rebound and should send the cross through 142.41 resistance to 100% projection of 136.22 to 141.26 from 138.78 at 143.82. Meanwhile, break of 138.78 will turn bias back to the downside for 136.22 support and below.
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">