Chart Patterns Dominate Weekly Start of Forex Market 2015.11.16

EUR/USD

4 hour

The EUR/USD is in a well structured downtrend channel, which is marked by resistance (orange) and support (blue) trend lines.

1 hour

The EUR/USD did try to break below the internal support trend line (green) but the breakout has been choppy so far. If break above the channel could see price hit Fibonacci resistance of wave 4 (brown). A break above the top (red) would change the current wave 4-5 (brown) structure.

GBP/USD

4 hour

The GBP/USD is currently in a wave 4 (green), which will be invalidated once price crosses the bottom and origin of wave 1 (red line). A bearish break could see price continue its downtrend for wave 5 (green) of wave 3 (pink).

1 hour

The GBP/USD has clear support (green) and resistance (red) trend lines marking its boundaries. A break of support could lead to the start of a wave 5 (green) downtrend continuation. A break of resistance (orange) could see an expansion of the wave 4 (green), whereas a break above the resistance (red) invalidates the wave 4 count.

USD/JPY

4 hour

The USD/JPY has kept pushing lower within the bull flag formation and hence the wave count has been changed. Wave A (blue) is now marked as completed at the most recent top and price is currently in a wave B (blue).

1 hour

The USD/JPY is in a bull flag correction (red lines). Price has bounced at the 38.2% Fibonacci retracement level, which could be the turning spot for a completed wave B (blue). A break above the flag is needed before the completion of wave B (blue) is more likely. A break below the flag could price bounce again at the 50% Fib.