Please find here below this week's wave analysis on the EUR/USD, GBP/USD and USD/JPY daily, weekly and monthly charts. More education, analytics, articles, and webinars can be found daily on Admiral Markets. https://admiralmarkets.com/analytics/
The EUR/USD is most likely still expanding the wave 4 (pink) due to the larger consolidation zone between support (green) and resistance (red). Price could be building a WXY (purple) correction that is now testing the key support zone (green) and Fibonacci levels.
The EUR/USD is building a wave 5 (light purple) within a larger wave A (red). That wave 5 could already be completed if price breaks below the support on the daily chart. Alternatively wave 5 can extend higher before completing wave A (red).
The EUR/USD bullish momentum is most likely building a 5th wave (purple) within a wave A (red), which is part of a larger bullish ABC (red).
The GBP/USD resistance levels stopped the uptrend from continuing higher and price is now showing strong bearish momentum. The strong decline could indicate a bearish reversal via a wave 1-2 or a bigger correction via an ABC.
The GBP/USD could be in wave 4 (light purple) but a break above the resistance trend line (red) and bottom of wave 1 (light purple) invalidates the wave 4 pattern (light purple). A break below the support levels could indicate a downtrend within wave 5 (light purple).
The GBP/USD bearish breakout could see the continuation of the wave 5 (purple) whereas a bullish break above resistance (red) could indicate that the wave C has been completed at the bottom.
The USD/JPY is in a difficult spot where it could be building a bullish retracement within the downtrend or starting a new bullish reversal. A break below the support trend line (blue) could indicate a downtrend continuation whereas a break above the resistance (red) indicates a bullish reversal or larger correction towards the 50% Fib.
The USD/JPY is expanding the bearish correction of wave Y (light purple) of wave B (red) after breaking below the support zone.
The USD/JPY could now fall towards the Fibonacci levels of wave Y (light purple).
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