GBP/JPY Daily Outlook
Daily Pivots: (S1) 158.03; (P) 158.50; (R1) 159.10;
Intraday bias in the GBP/JPY is mildly on the upside for 159.52 and above. The larger rally might extend through 159.98 resistance. But again, we'd expect strong resistance below 163.05 resistance to bring larger reversal eventually. Below 156.63 will turn bias to the downside for 154.72 support first.
In the bigger picture, considering bearish divergence condition in 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) 132.66; (P) 133.19; (R1) 133.84;
A temporary low is formed in the EUR/JPY at 132.36 and intraday bias is turned neutral first. Overall outlook is unchanged as we're expecting a trend reversal soon. In case of further rally, we'd expect strong resistance from 139.21 resistance to bring reversal. On the downside, below 132.36 will turn bias to the downside for 131.13. Break will indicate that the cross has finally topped and turn outlook bearish.
In the bigger picture, upside momentum in EUR/JPY remains rather unconvincing as seen in 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">