EUR/USD, GBP/USD continue with bullish momentum in wave 3
|EUR/USD
4 hour
The EUR/USD continued its strong bullish momentum yesterday and throughout the week. This seems to have completed an impulsive wave 3 (green) and one more push higher (wave 5 green) could occur if a corrective wave 4 (green) pattern develops.
1 hour
The EUR/USD could bounce at the Fibonacci levels of wave 4 (green). A break below the 61.8% Fibonacci level and trend line (green) invalidates the wave 4 (green).
GBP/USD
4 hour
The GBP/USD is either completing a wave 5 (blue) or extending the wave 5 (blue) with an internal 5 wave indicated by wave 1-2 (pink). Price has not reached the 61.8% Fibonacci level of wave 2 vs 1 but a break above the 100% Fib level invalidates the pink 1-2. A break below the previous bottom (green) is needed before an extension of the downtrend is confirmed.
1 hour
The GBP/USD broke the resistance trend line (orange) yesterday and showed bullish impulsiveness as expected within the wave C (green) zigzag. Price could now bounce at the Fibonacci levels of wave 4 (blue) but a break below the 61.8% Fibonacci level, however, invalidates the wave 4 (green).
USD/JPY
4 hour
The USD/JPY will either break the support for a downtrend continuation or break above the resistance and potentially start a reversal. Consider the struggle to break the horizontal support of the previous bottom (green), a larger upside correction or reversal seems most likely.
1 hour
The USD/JPY indeed completed the wave A (green) and wave B (green) as shown yesterday. A break above the resistance (red) should initiate wave C (green).
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.