GBP/JPY
Daily Pivots: (S1) 175.56; (P) 176.83; (R1) 177.50;
The break of 38.2% retracement of 169.34 to 180.70 at 176.36 suggests that deeper pull back is underway. Intraday bias is mildly on the downside for the moment. Though, we'd still expect strong support from 61.8% retracement 173.67 to bring rally resumption eventually. Above 178.12 minor resistance will turn bias back to the upside for retesting 180.70 first.
In the bigger picture, the strong break of 175.36 confirmed larger up trend from 116.83 low has resumed. Current rise would now extend to 50% retracement retracement of 251.09 to 116.83 at 183.96. Current acceleration suggests that such fibonacci level would be taken out and GBP/JPY would target 61.8% retracement at 199.80. Meanwhile, outlook will stay bullish as long as 169.34 support holds, in case of deep pull back.
EUR/JPY
Daily Pivots: (S1) 138.61; (P) 138.87; (R1) 139.16;
Intraday bias in EUR/JPY remains on the downside as the fall from 141.21 is still in progress for 135.72 support. As noted before, actions from 145.68 are probably developing into a triangle pattern with fall from 141.21 as the last wave. Thus, we'd expect strong support above 135.50 key level to bring reversal. On the upside, above 138.38 minor resistance will turn bias back to the upside for retreating 141.21 resistance.
In the bigger picture, the strong rebound from 55 weeks EMA, with 135.50 support intact, suggests that the up trend from 94.11 long term bottom is still in progress. Break of 145.68 will target 76.4% retracement of 169.96 to 94.11 at 152.59. On the downside, again, sustained break of 135.50 key support level will confirm medium term reversal and would target 124.95 support and below.
