Daily Wave Analysis for 12 January 2015 2015.01.12

4 hour EURUSD:

The EURUSD seems to have completed 5 waves (purple). The question is whether it will go up for a deep retracement or will the wave count become extended, and the answer will probably be found in today’s price action.

60 min EURUSD:

The mini double bottom could increase the likelihood of a bullish retracement back towards to previous wave 4 (purple) and trend line (orange).

GBPUSD

4 hour GBPUSD:

The completion of a wave 4 (green) consolidation will most likely take price at the 23.6% or the 38.2% Fibonacci retracement level.

60 min GBPUSD:

The GBPUSD is in a bearish chart pattern called a bear flag (purple lines).

USDJPY

4 hour USDJPY:

The USDJPY is breaking through the support trend line (green) and could correct lower towards the Fibonacci levels.

60 min USDJPY:

The USDJPY price could be in a wave 3 (green) of an ABC zigzag (blue), which completes the bigger wave Y’s consolidation of wave 4.