Channel Support Could Spark Momentum on Major Pairs 2015.04.21

EUR/USD

4 hour

The EUR/USD is most likely expanding its correction of wave Y (blue) with a wave WXY (magenta).

1 hour

Price is at the bottom of the trend channel (blue), which could be part of the wave X (orange correction).

GBP/USD

4 hour

The GBP/USD seems set to correct lower for a wave X (green) which could be followed by a wave Y (green) rally.

1 hour

The GBP/USD is now at the bottom of the uptrend channel (green lines) and 38.2% Fibonacci levels, which could be a bouncing spot. A bearish break of the channel however could have limited potential due to the other Fibonacci levels which are nearby.

USD/JPY

4 hour

The USD/JPY completed a bearish wave W (green) which could turn out to be part of a bigger correction of wave 4 (magenta).

1 hour

Therefore price could face resistance at the Fibonacci levels of wave X (green).