Support & Resistance Trend Lines Offer Decision Spots 2015.09.10

EUR/USD

4 hour

The EUR/USD bounced at the bottom of the triangle support (green) and rallied to test the triangle resistance (red) as mentioned in yesterday's live strategy webinar at Admiral Markets (click here to join next week).

1 hour

The EUR/USD bullish momentum could be part of a bigger ABC zigzag (purple). Using a Fibonacci tool in the middle of a triangle however always remains risky and price could easily retest the bottom of the triangle yet again. A bullish break above resistance (red) could see price retrace deeper versus wave 2 (green) whereas a bearish break of support (green) could see price start wave 3 (green) or C.

GBP/USD

4 hour

The GBPUSD bullish price action pushed well above the bearish trend channel. Due to the impulsive nature of the price movement the swing has been labeled as a wave 3 (pink).

1 hour

The GBP/USD went sideways yesterday which is a typical behavioral pattern for a wave v (pink). A break below the 50% Fibonacci retracement level would make the count unlikely. A break above the bull flag pattern (dark red trend lines) indicates the potential for the start of wave 5 (pink).

USD/JPY

4 hour

The USDJPY retested the resistance trend line (red) and long-term moving average (dotted purple). The bullish momentum could be strong enough to label the upside as a wave A (purple) with the anticipation of wave B and C (purple).

1 hour

On a lower time frame price has already bounced at the 50% Fibonacci retracement level, which could be a bouncing spot for the wave C (purple). Yesterday price action completed a strong wave 5 (blue).