Major currency pairs move towards Fibonacci targets 2016.02.23

EUR/USD

4 hour

The EUR/USD continued its bearish momentum yesterday but still remains above support levels like the Fibonacci retracements and trend line. This zone could turn out to be a zone where price will show a bullish bounce (if it breaks above resistance) or a bearish break (if it breaks below support).

1 hour

The EUR/USD could be in a wave 4 (orange) as long as price does not go above the 78.6% Fibonacci retracement level, which is the invalidation spot, before showing a new lower low.

GBP/USD

4 hour

The GBP/USD wave count has been changed to reflect yesterday's break below the support trend line (dotted green). Price fell towards the next support (solid green), which is the previous bottom. A break below the bottom could indicate more bearishness as a potential part of wave 3 (pink).

1 hour

The GBP/USD is showing very choppy price action. The trend lines mark the boundaries of the contracting triangle pattern.

USD/JPY

4 hour

The USD/JPY break below support (green) could see price move further down towards the Fibonacci levels.

1 hour

The USD/JPY could be in a wave 1-2 (orange) of the bigger wave C (pink). The wave count is invalid if price manages to break above the 100% Fibonacci level.