EURUSD & GBPUSD Display Bullish Breakouts 2015.09.11

EUR/USD

4 hour

The EUR/USD is indeed retracing deeper within wave 2 (green) or alternatively wave B (green) and is very near the first Fibonacci level (38.2%).

1 hour

The EUR/USD did indeed use the Fibonacci retracement levels as indicated in yesterday's wave analysis to make a bounce for wave B (blue). The rally broke above resistance (red) in what now seems like a wave 3 (green) with a wave 5 (green) potentially remaining before wave C (blue) is completed.

GBP/USD

4 hour

The GBPUSD is building both a bearish and a bullish 5 wave pattern (orange and pink). Both 5 wave patterns could be part of a bigger wave A or wave 1 (orange/green). In any case, there is a high chance for a 3 wave correction after the bullish 5 wave (pink) is completed.

1 hour

As expected in yesterday's wave analysis the GBP/USD broke the classic bull flag wave 4 (pink) chart pattern to the upside for a continuation of wave 5 (pink). Price could still extend to higher Fibonacci targets before completing perhaps wave A (orange) after which a 3 wave retracement for wave B seems the most likely.

USD/JPY

4 hour

The USD/JPY is in a triangle and a bullish break could see price retrace deeper versus the Fibonacci retracement levels. Currently price has stopped at the 38.2% Fib level. A bearish break could indicate the likelihood of wave C (brown) of wave Y (green) continuing.

1 hour

If price manages to break above the triangle resistance (red), then the wave count shows the potential for a 123 (blue) development within wave C (purple) of wave B (brown). The alternative is that wave C (purple) has already completed and is confirmed when price breaks below the triangle (dark green).