Daily Wave Analysis for 4 February 2014 2014.02.04

EURUSD

The EURUSD broke the daily support line (magenta line) to the downside and now an impulsive correction is potentially taking place to complete a wave c (blue).

4 hour chart EURUSD:

Wave 4 and 5 (green) probably remain but the best trade is the breakout with the trend (red arrow); the other option is an upside break (green arrow) but only above the resistance (red line).

60 min chart EURUSD:

GBPUSD

The GBPUSD has broken of the uptrend (break of the blue channel).

4 hour chart GBPUSD:

Yesterday’s downside breakout of support (blue) indeed occurred so price is now probably making an impulsive down. Not sure if wave 3 (green) is complete, but if it is then expecting a wave 4 and 5 (green).

60 min chart GBPUSD:

USDJPY

Price could have completed a retracement for wave 4 (blue) and therefore a continuation higher from the 50% Fib (instead of the 38.2%) up to wave 5 is a decent possibility. The invalidation level of the bigger wave 3 and 4 (dark blue)wave count is +/- 99 (3 thick red lines).

4 hour chart USDJPY:

The down trend on the lower time frames might still have some downside continuation to complete waves 5s and Cs.

60 min chart USDJPY: