GBP/USD breakout alert, EUR/USD bounce at 50% Fibonacci 2016.05.31

EUR/USD

4 hour

The EUR/USD retraced to the top of the downtrend channel, which is a strong resistance zone and a potential continuation spot within wave C (blue) or wave 3 (purple). A bearish 123 (purple) becomes more likely when price is able to break below the 161.8% Fibonacci target.

1 hour

The EUR/USD is breaking the counter trend line (dotted green), which could mark the bearish breakout within wave 5 (orange). A break above the 61.8% Fibonacci level of wave "4 vs 3" and above the trend line (red) make a wave 4 (orange) less likely.

GBP/USD

4 hour

The GBP/USD is testing the resistance level (red) and Fibonacci levels within a wave C (pink).

1 hour

The GBP/USD broke a resistance trend line (dotted orange) after bouncing at the 50% Fibonacci support level as expected in previous wave analysis. The current bullish momentum could be a 12345 (grey) unless price breaks below the high of wave 1 (grey) and support levels (green).

USD/JPY

4 hour

The USD/JPY broke the resistance (dotted red) of the contracting triangle chart pattern. Price is now moving higher as part of the wave 5 (purple). Price has a strong confluence of resistance nearby between 111.50 and 112.

1 hour

The USD/JPY hooked back to a typical 38.2% Fibonacci retracement as part of wave 4 (brown) and is bouncing higher as part of a wave 5 (brown).

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