EUR/USD Bounce at Fibs and USD/JPY Break of Support 2016.01.07

EUR/USD

4 hour

The EUR/USD showed a bullish bounce at the 61.8%, which could complete wave X (brown) depending on whether price can break above resistance (orange).

1 hour

The EUR/USD completed wave 5 (pink) at double bottom before making an impulsive bullish rally. The speed of price is suggesting a 123 wave development (green).

GBP/USD

4 hour

The GBP/USD is at the bottom of the downtrend channel (green/red), which in itself is a bullish bounce or bearish break spot. At 1.4566 is a big daily bottom which could act as support.

1 hour

The GBP/USD posted an ending diagonal formation via the light green waves. Price was not able to break below the support and is now testing the inner resistance (orange).

USD/JPY

4 hour

The USD/JPY is attempting to break below the horizontal support levels (blue dotted). If price stays below resistance (orange), then it continue the downtrend and fall towards the next Fibonacci targets or support levels (blue).

1 hour

The USD/JPY keeps posting lower lows and seems to be in a wave 5 (pink) of a larger wave 3 (green). The ABC (blue) formation is vulnerable to be changed into a 123 if price keeps pushing lower and breaks below the 61.8% target.