GBP/JPY Daily Outlook
Daily Pivots: (S1) 157.14; (P) 157.40; (R1) 157.71;
The GBP/JPY is still staying in tight range above 156.75 and intraday bias remains neutral. On the downside, below 156.75 will bring deeper fall to 154.72 support first. Decisive break of 154.72 will be an early sign of reversal and would turn near term outlook bearish for 147.61 support. On the upside, above 159.52 will bring further rise. But again, we'd expect strong resistance below 163.05 resistance to bring larger reversal eventually.
In the bigger picture, considering bearish divergence condition in the daily MACD, the up trend from 116.83 might be close to completion. Break of 147.61 will confirm medium term topping and bring correction back to 140.37 support and below. In case of another rise, we'd now expect strong resistance from 163.05 to limit upside.
GBP/JPY Hourly Chart" title="GBP/JPY Hourly Chart" width="600" height="600">
GBP/JPY Daily Chart" title="GBP/JPY Daily Chart" width="600" height="600">
EUR/JPY Daily Outlook
Daily Pivots: (S1) 132.60; (P) 133.14; (R1) 133.67;
With 133.69 minor resistance intact, deeper fall is still expected in EUR/JPY for 131.13 support. Break will be an early sign of larger reversal. In that case, a medium term top is possibly formed and deeper fall would be seen to 124.95 support and below. On the upside, above 133.69 will delay the bearish case and turn bias neutral first. But in case of another rally, we'd continue to expect strong resistance below 139.21 resistance to bring larger reversal eventually.
In the bigger picture, upside momentum in the EUR/JPY remains rather unconvincing as seen in the daily and weekly MACD. While further rally cannot be ruled out for the moment, the cross would likely face strong resistance from 139.21 and 61.8% retracement of 169.96 to 94.11 at 140.98. The up trend from 94.11 should be close to forming a medium term top and turn into consolidation. Break of 127.96 will confirm topping and should bring correction back to 119.10 support.
EUR/JPY Hourly Chart" title="EUR/JPY Hourly Chart" width="600" height="600">
EUR/JPY Daily Chart" title="EUR/JPY Daily Chart" width="600" height="600">