USD/JPY bullish momentum approaches resistance at daily channel 2016.09.01

EUR/USD

4 hour

The EUR/USD bearish price action is slowing down around the 38.2% Fibonacci retracement level of wave D (green) vs B. A bearish break below that Fib level could see price extend the bearish breakout below support (dotted green) towards the 50% or 61.8% Fibonacci levels. A bullish bounce at the Fib could see price retest resistance (red).

1 hour

The EUR/USD break above the resistance line (orange) could start a wave B (blue) correction with resistance at the Fibonacci levels of wave B vs A. A break below support (green) could see the start of bullish momentum.

GBP/USD

4 hour

The GBP/USD is in a potential wave 3 (pink), which is confirmed when price breaks below the bottom (horizontal green). A bullish bounce at that bottom (horizontal green) would indicate a wave change such as a larger triangle formation. A break of the resistance (red) would indicate a larger ABC correction within wave 4 (blue).

1 hour

The GBP/USD broke above the small bear flag chart pattern (dotted orange/green), which is indicating the start of a wave C (blue) correction within wave 2 (green) with resistance at the Fibonacci levels of wave 2 vs 1 and C vs A.

USD/JPY

4 hour

The USD/JPY is approaching strong resistance (red) at the top of the daily downtrend channel, which could either cause a larger retracement or a sideways pattern like a bull flag chart pattern. A bullish break above it could start a larger bullish reversal (wave 1 purple).

1 hour

The USD/JPY is making a mild correction, which could indicate the completion of wave 5 (blue) within wave 3 (brown). A larger correction could price head back to and bounce at the Fibonacci retracement levels of wave 4 (brown) vs 3.

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