EURJPY Possible short-term base, and a strong divergence warnings on the weekly.

The EURJPY has broken above a sharply declining trendline, and the recent low has occurred with strong Bullish Momentum Divergence on the RSI and MACD.  - This currency pair may also be forming a Double Bottom, with potential towards the low 113s if it can break and hold over 111.11.  This could be relevant to the the Equities market, given the close correlation of the SP500 and this currency pair.  - See 4-Hourly candle chart below. The EURJPY broke down from 113.00 at the same time that the SP500 broke down from the high 1120s.

Jumping from the very short-term picture on the EURJPY to the much longer picture. The chart below is the weekly chart, this is showing very strong Bullish Divergence, I have highlighted two prior occasions where this currency pair is displaying very strong weekly Bullish Divergence, as an example of how crucial this could be. Saying that, I do not take this Divergence as a buy signal, however it does warn that when a weekly buy signal occurs, the EURJPY could make a very strong counter-move.

(Click on chart to enlarge).