EURUSD, GBPUSD triangle patterns offer breakout zones 2016.04.15

EUR/USD

4 hour

The EUR/USD is building a small triangle (orange and green trend lines). A bullish break could indicate that the larger wave 4 (blue) is still not completed. A bearish break of the triangle could indicate that a larger retracement or even reversal (and completion of wave 4) is taking place.

1 hour

The EUR/USD bullish break of the triangle could still resistance at the Fibonacci levels of potential wave 4 (blue). One additional lower low would make a 12345 development more likely than an ABC zigzag.

GBP/USD

4 hour

The GBP/USD still remains below the resistance trend line (red) after the bearish turn at the 78.6% Fibonacci level. A break below the support trend line (green) is required before a strong downtrend has a better chance of developing.

1 hour

The GBP/USD wave 4 (grey) is invalided as soon as price is able to break above the 61.8% Fibonacci retracement level. In that case the wave C (blue) has most likely already been completed. Otherwise price could be in a wave 4 with a potential wave 5.

USD/JPY

4 hour

The USD/JPY is making a retracement rally within wave 4 (green). The wave 4 (green) retracement levels remain potential resistance spots. A break above the 61.8% Fibonacci level makes a wave 4 less likely.

1 hour

The USD/JPY indeed broke above the resistance (orange) and seems ready to retest higher Fib levels after price bounced at the 38.2% Fibonacci level of wave 4 (orange).