GBP/USD Reverts into Triangle Pattern after Brexit
|GBP/USD
4 hour
The United Kingdom (UK) has officially and formally triggered Article 50 on Wednesday 29 March 2017, which starts the British exit (Brexit) out of the European Union. The process and negotiations will last 2 years and the UK is set to leave the EU by 29 March 2019.
The GBP/USD is building a small triangle (red/green lines) pattern. The wave WXY (orange) could be part of a wave X (blue) which is part of a larger WXY (blue) to complete a wave E (green) triangle.
1 hour
The GBP/USD is building a potential ABC (pink) zigzag within wave X (orange). A break above resistance (red) could see price move towards the targets.
EUR/USD
4 hour
The EUR/USD broke below two support trend lines (dotted green) and is showing a strong bearish impulse. This could either be a wave 1 (light green) or wave A (dark green).
1 hour
The EUR/USD could be in a final wave 5 (pink/orange) of the bearish impulse. A break below support (green) could see price move towards the Fibonacci targets whereas a break above resistance (orange) could see a correction of the wave 1/A (greens).
USD/JPY
4 hour
The USD/JPY continued with the bullish bounce and breakout above the resistance trend line (dotted orange). Price could be retracing the swing high and swing low of wave A (brown) which is why the Fibonacci levels of wave B vs A could become resistance levels. A bearish bounce could see price fall towards the 50% Fibonacci level of wave 4 vs 3 which in turn could be a bullish bouncing spot.
1 hour
The USD/JPY offer support (green) and resistance (red) trend lines which could be breakout levels. However, price could bounce at the wave B vs A Fibonacci levels for an ABC zigzag (purple).
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