GBP/USD Bearish ABC Zigzag within Wave-E Triangle
|GBP/USD
4 hour
The GBP/USD turned at the 50% Fibonacci level of wave E (green) but a larger bullish correction via a WXY (blue) seems likely at this point. The Fibonacci levels of wave X (blue) could therefore be bouncing spots.
1 hour
The GBP/USD seems to have completed a 5th wave (purple) and is now building a bearish correction via an ABC (orange) zigzag.
EUR/USD
4 hour
The EUR/USD is building a contracting triangle (green/orange lines) at the 78.6% Fibonacci resistance level of wave 2 (purple). A potential break above the 100% level invalidates the current wave 1-2 (purple) structure but a breakout below support (green/blue) could see a new downtrend emerge.
1 hour
The EUR/USD could be building a second pullback with waves 1-2 (blue/green). A break above the 100% level invalidates the bearish reversal and could see price retest 1.08 and the resistance top (orange).
USD/JPY
4 hour
The USD/JPY is building a pullback and could bounce at the 78.6% Fibonacci retracement level of wave 2 (brown). A break below the 100% Fibonacci level invalidates wave 2 (blue/brown).
1 hour
The USD/JPY might be starting its bullish turn via a wave 1-2 (orange) if price stays above the 100% level and manages to break above resistance (orange/red).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.