GBP/JPY Daily Outlook
Daily Pivots: (S1) 169.33; (P) 169.91; (R1) 170.88;
The GBP/JPY continues to engage in sideway trading in range below 171.88 and intraday bias remains neutral. On the upside, ,above 171.88 will extend the rebound from 163.87 and should target 173.65/174.84 resistance zone. Considering that the cross is limited by near term falling trend line, break of 168.82 will indicate that such rebound is completed and will turn bias back to the downside for retesting 163.87 instead.
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) 139.63; (P) 140.08; (R1) 140.89;
The EUR/JPY continues to stay in range below 141.26 temporary top and intraday bias remains neutral. 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">