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Daily Pivots: (S1) 142.17; (P) 142.74; (R1) 143.17; More...

Intraday bias in GBP/JPY remains neutral at this point. With 140.62 minor support intact, rebound from 131.51 might still extend through 144.84. But in that case, we'd expect strong resistance from trend line (now at 146.85) to limit upside, at least on first attempt. On the downside, firm break of 140.62 will suggest completion of the rebound and turn bias to the downside.

In the bigger picture, the strong rebound from 131.51 suggests that medium term fall from 156.59 (2018 high) has completed already. The corrective structure of such decline is turn argues that it's the second leg of the corrective pattern from 122.36 (2016 low). And this pattern is starting the third leg. On the upside, decisive break of 149.38 will pave the way to 156.59 resistance and above.

The Euro fell at the start of European session on Thursday and erased all gains of recovery rally in Asia, in attempts to extend Wednesday's strong fall (the pair was down 0.6%).

Wednesday's bearish outside day adds to negative outlook, as bears took out the last obstacles on the way to 1.1215 target and key m/t support (12/13 Nov lows).

Daily MA's in full bearish setup and momentum in steep descend support scenario, but stochastic reverses from oversold territory and may slow bears.

Falling 5SMA caps today's action for now and marks initial resistance at 1.1288, with stronger upticks expected to stall under 1.1340 (tops of Wed/Tue, reinforced by falling 10SMA) to keep bears in play.

Only sustained break above the latter would weaken bearish structure and signal possible stronger recovery towards plethora of falling daily MA's (20/55/30/100) at 1.1369/1.1410 zone.

Res: 1.1288, 1.1340, 1.1369, 1.1410
Sup: 1.1249, 1.1215, 1.1186, 1.1105

After soft US inflation data released yesterday, the hopes are pinned on the upcoming US core retail numbers. Any reading above 0.2% will be considered as a solid number and it is likely to push the price of gold lower. Gold investors are watching every single economic data very carefully because the Fed could change its stance towards their monetary policy if the economic numbers start to improve. So far the gold price is defending all the pessimism and the bull are hoping that the Fed doesn't become hawkish any time soon.

The gold price doesn't have much support from the geopolitics because the tensions between the US and China seems to be easing off over the trade deal. It is widely expected that both countries are working together to find a suitable solution for the ongoing trade war. Moreover, the chances of another US government are also minuscule because it appears Donald Trump is willing to work with Democrats. Thus, all these risk-off events aren't going to support the gold price. The only hope for the bulls is that the Fed remains dovish and for that to happen we need to see the economic number remain only stable not picking up any kind of momentum.

In terms of technical analysis, the gold price is defending the level of $1,300 so far. The gold price needs some serious momentum behind it in order to break above $1,327 which has acted as a strong resistance for now. The hopes for the bull rally to continue will remain alive as long as the price continues to trade above the 50-day and 100-day moving averages shown in green and pink respectively.

The major support zone is shown by the solid horizontal green line and the minor with the dotted line. Similarly, the major resistance is shown by the solid horizontal red line and minor with the dotted horizontal line.

Cable gets under fresh pressure in early European trading on Thursday after brief recovery attempts in Asia were capped by 100SMA (the action repeatedly closed below 100SMA in past three days).

Wednesday's bearish candle with long upper shadow marked strong upside rejection (falling 10SMA capped upticks) and weighs.

Strong bearish momentum adds to negative outlook, but bullish divergence on daily stochastic may slow bears.

Overall picture remains negative and favors selling upticks (ideally under 100SMA) with extended upticks to be capped by converged 10/30SMA's (1.2930).

Bears eye initial targets at 1.2812 (55SMA) and 1.2786 (daily cloud top, as cloud twists next week and remains magnetic), with stronger bearish acceleration to look for test of 1.2710 (Fibo 61.8% of 1.2397/1.3217).

Res: 1.2884, 1.2904, 1.2930, 1.2989
Sup: 1.2812, 1.2786, 1.2710, 1.2668

Daily Pivots: (S1) 124.81; (P) 125.17; (R1) 125.37; More....

EUR/JPY is still bounded in range of 124.17/125.96 and intraday bias stays neutral. Outlook is unchanged that we're favoring the case that rebound from 118.62 has completed at 125.95 already, just ahead of 55 day EMA. On the downside, break of 123.78 will add more credence to this case and target a test on 118.62 low. On the upside, however, decisive break of 125.95 will dampen out bearish view and target 129.25 resistance next.

In the bigger picture, medium term rebound from 109.03 (2016 low) has completed at 137.49 already, with corrective structure. Fall from 137.49 is likely still in progress. Decisive break of 118.62 will target 161.8% projection of 137.49 to 124.61 from 133.12 at 112.28, which is inside 109.03/114.84 support zone.

Pivot (invalidation): 53.60

Our preference Long positions above 53.60 with targets at 54.60 & 54.90 in extension.

Alternative scenario Below 53.60 look for further downside with 53.25 & 52.95 as targets.

Comment The RSI advocates for further advance.

Pivot (invalidation): 15.6600

Our preference Short positions below 15.6600 with targets at 15.5700 & 15.5200 in extension.

Alternative scenario Above 15.6600 look for further upside with 15.7100 & 15.7600 as targets.

Comment As Long as 15.6600 is resistance, likely decline to 15.5700.

Pivot (invalidation): 1310.50

Our preference Short positions below 1310.50 with targets at 1306.75 & 1304.75 in extension.

Alternative scenario Above 1310.50 look for further upside with 1312.50 & 1315.50 as targets.

Comment As Long as 1310.50 is resistance, look for choppy price action with a bearish bias.

Daily Pivots: (S1) 0.8742; (P) 0.8769; (R1) 0.8794; More...

EUR/GBP is staying in consolidation below 0.8821 temporary top and intraday bias remains neutral. Further rise is expected as long as 0.8711 minor support holds. On the upside, sustained break 38.2% retracement of 0.9101 to 0.8617 of 0.8802 will target 61.8% retracement at 0.8916. However, break of 0.8711 will suggest that rebound from 0.8617 has completed. Intraday bias will be turned back to the downside for 0.8617/20 support instead.

In the bigger picture, EUR/GBP is seen as staying in long term range pattern started at 0.9304 (2016 high). The medium term range is set between 0.8620 and 0.9101. Downside breakout of 0.8620 will pave the way back to 0.8312 support . Break of 0.9101 will bring retest of 0.9304/5 resistance.

Daily Pivots: (S1) 1.5835; (P) 1.5912; (R1) 1.5962; More....

EUR/AUD's retreat from 1.6060 extends lower today but downside is contained well above 1.5721 support so far. Intraday remains neutral and outlook is unchanged. We're favoring the case that decline from 1.6765 has completed at 1.5721 already, on bullish convergence condition in 4 hour MACD. On the upside, break of 1.6060 should confirm this bullish view and target a test on 1.6765 high. On the downside, however, break of 1.5721 will extend the decline to 1.5346 support instead.

In the bigger picture, as long as 1.5346 support holds, outlook will remain bullish. Uptrend from 1.1602 (2012 low) is expected to resume sooner or later. Break of 1.6765 will target 61.8% retracement of 2.1127 (2008 high) to 1.1602 at 1.7488 next. However, firm break of 1.5346 key support will indicate trend reversal, with bearish divergence condition in weekly MACD, and turn outlook bearish.