EURUSD challenges 1.15, USDJPY faces triple bottom 2016.04.05

EUR/USD

4 hour

The EUR/USD is building a small contracting triangle (orange/green). A bullish break could see price move towards the horizontal resistance levels from the daily chart (red) around the psychological round level of 1.15. A bearish break could see price fall towards the other support trend lines (greens) and expand wave B (blue).

1 hour

The EUR/USD respected the 38.2% Fibonacci level of wave B (blue). The contracting triangle seems to have completed the ABCD and could now be in the E part.

GBP/USD

4 hour

The GBP/USD showed a bullish bounce yesterday at the 78.6% Fibonacci level of wave B (pink). Price has now reached a resistance trend line (red) as part of a contracting triangle chart pattern. For the moment a bullish ABC (pink) is more likely unless price breaks below the support (green) and 100% level at 1.4057.

1 hour

The GBP/USD breakout above the resistance (red) could price move towards the Fibonacci targets. A breakout below support (green) could lead to a deeper wave B correction (pink).

USD/JPY

4 hour

The USD/JPY is now retesting the triple bottom (green), which will be a decision zone where a bullish bounce or a bearish break will occur.

1 hour

The USD/JPY bearish momentum is reaching Fibonacci targets as part of a wave 3 (pink). Once wave 3 is completed, a corrective wave 4 correction should develop if the wave count is correct.