EUR/USD & GBP/USD Break Trend Lines in Bearish Channel 2015.12.03

EUR/USD

4 hour

The EUR/USD made a bearish fall during yesterday's trading day but again failed to break the 138.2% support Fibonacci level. Price remains trapped between support and resistance.

1 hour

The EUR/USD respected the resistance trend line (orange) and made a bearish zigzag (orange). Price was unable to break below the support trend line (green) and made a similar bullish bounce back to resistance. Price has been relatively choppy the last 2 weeks but a break of the resistance could mark the start of wave C (green) whereas a break below wave B (green) invalidates wave 1-2 (orange).

GBP/USD

4 hour

The GBP/USD completed wave 4 (pink) at the 23.6% Fibonacci level after breaking below support trend lines (dotted green). Price is now at a bottom of a neat downtrend channel, which will act as a bounce or break spot.

1 hour

The GBP/USD bearish breakout below support (dotted green) is most likely a wave 3 (green). A wave 4 (green) retracement should not break above the bottom of wave 1 (red line).

USD/JPY

4 hour

The USD/JPY is challenging the invalidation point (red line) of wave X at the 100% Fibonacci level.

1 hour

The USD/JPY is now at a break or bounce spot with resistance and support nearby.