US Dollar break unlocks bearish momentum 2016.08.23

EUR/USD

4 hour

The EUR/USD used the 38.2% Fibonacci retracement level as a support for a bullish bounce at wave 4 (green). Price also broke above the resistance trend line (dotted red) which could indicate the continuation of wave 5 (green).

1 hour

The EUR/USD is in a bullish break above resistance (dotted red) within wave 5 (green). A break below the support trend line (green) would indicate that wave 5 (green) is most likely finished.

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). A break above the 100% Fib level invalidates the pink 1-2. For the moment price seems to be expanding the bullish correction via a WXY (green) towards the resistance trend line (red).

1 hour

The GBP/USD broke the resistance trend line (dotted red) and not the support (greens) levels. The bullish momentum has been marked as a wave A (blue) and a bullish zigzag could take place once price breaks the new resistance (red).

USD/JPY

4 hour

The USD/JPY will either break the support (green) for a downtrend continuation or break above the resistance (orange/red) and potentially start a reversal.

1 hour

The USD/JPY seems to have completed a leading diagonal for wave 1 (brown), which becomes invalidated if price breaks below the 100% Fibonacci level of wave 2 (brown).

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