GBPUSD, “Great Britain Pound vs US Dollar”
As we can see in the H4 chart, a divergence on MACD is making the pair start a new correctional decline after reaching the local high at 1.4241. However, a breakout of the high may lead to a further uptrend towards the long-term high at 1.4376 as soon as the price completes the above-mentioned pullback, which may reach the local support at 61.8% fibo. An alternative scenario implies that the price may continue falling towards the local low at 1.3669 and extend this correction down to 38.2% fibo at 1.3643.
The H1 chart shows the potential correctional targets – 23.6%, 38.2%, and 50.0% fibo at 1.4113, 1.4028, and 1.3960 respectively. The local resistance is the high at 1.4250.
EURJPY, “Euro vs. Japanese Yen”
In the daily chart, after fixing above 76.0% fibo, EURJPY is still trading upwards to reach its key high at 137.50. At the same time, a divergence on MACD may hint at a possible descending correction after the price reaches its target and rebounds from it. The short-term target of this correction may be the support at 61.8% fibo (128.66).
As we can see in the H4 chart, after reaching 134.12, the pair is slowing down. One shouldn’t exclude a breakout of this level but the most probable scenario implies a new correction towards 23.6%, 38.2%, and 50.0% fibo at 131.17, 129.35, and 127.88 respectively.
