-EURJPY reverses from Fibonacci resistance
-GBPJPY short term head and shoulders top
[B]
Euro / Japanese Yen[/B]
After dropping in 5 waves from 137.46, a countertrend advance reversed at the 61.8% retracement (of the decline from 137.46). The decline from there may the beginning of the next bear leg. Coming under 129.85 would bolster the bearish outlook.
[B]
British Pound / Japanese Yen[/B]
The GBPJPY pattern is the exact same as the EURJPY pattern. Taking a closer look at the GBPJPY, one can see a potential head and shoulders top in the works. Dropping beneath 146.95 would confirm the reversal pattern and warrant a bearish stance.
[B]
Swiss Franc / Japanese Yen[/B]
The CHFJPY pattern is the exact same as the EURJPY. Favor the downside as long as price is below 88.13.
[B]
Canadian Dollar / Japanese Yen[/B]
The CADJPY has exceeded its 200 day SMA and remains within an upward sloping channel. Weakness near term, to correct the advance from 78.05 if not an outright reversal is possible. Fibonacci support begins at 82.00 and extends to 80.50.
[B]
Australian Dollar / Japanese Yen[/B]
The AUDJPY has also rallied through its 200 day SMA and traded to a yearly high. Longer term, I am expecting a top to form over the next few weeks so watch potential Fibonacci resistance at 75.84. Near term, a deeper correction of the advance from 66.83 is possible if not an outright reversal. 69.50-70.00 is potential support.
[B]
New Zealand Dollar / Japanese Yen[/B]
Similar to other Yen crosses, the NZDJPY sports 5 waves down from the April top and what may be a completed 3 wave correction from the recent low. As such, the risk of a reversal and continuation of the larger downtrend is high.
Jamie Saettele publishes Daily Technicals every weekday morning (930 am EST), COT analysis (published Monday mornings), technical analysis of currency crosses throughout the week (EUR on Tuesday, JPY on Wednesday, GBP on Thursday, AUD on Friday), and the DFX Trend Index every day after the NY close. He is also the author of Sentiment in the Forex Market.
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