EURUSD, “Euro vs US Dollar”
The H4 chart shows that a divergence made the pair complete the uptrend at 76.0% fibo. In this case, EURUSD may start a new descending wave with the key target at the high (1.1704), a breakout of which may lead to a further downtrend towards the long-term 38.2% fibo at 1.1695, The first descending impulse has already reached 23.6% fibo, while the next one may continue towards 38.2%, 50.0%, 61.8%, and 76.0% fibo at 1.1980, 1.1927, 1.1875, and 1.1811 respectively. A breakout of the local high at 1.2150 will result in a further uptrend to reach 1.2243.
As we can see in the H4 chart, after finishing the descending wave, EURUSD had corrected towards 38.2% fibo. Possibly, the pair may yet continue growing towards 50.0% and 61.8% fibo at 1.2082 and 1.2098 respectively but this scenario is rather unlikely. After breaking the support at 1.2013, the asset may fall to reach the mid-term 38.2% fibo at 1.1980.
USDJPY, “US Dollar vs. Japanese Yen”
As we can see in the H4 chart, a convergence on MACD made the pair stop falling at 38.2% fibo and start a new rising wave. After completing it, the price may fall to break the low at 107.48 and then reach 50.0% fibo at 106.78. However, a more probable scenario implies a further uptrend towards the high and the fractal high at 110.97 and 111.71 respectively. After breaking the latter level, the asset may continue growing towards the post-correctional extension area between 138.2% and 161.8% fibo at 112.30 and 113.13 respectively.
The H1 chart shows a new short-term correctional decline after a divergence on MACD, which managed to break 23.6% fibo but was later followed by another growth to break the high at 109.70. In this case, the asset is expected to continue rising towards the mid-term 76.0% fibo at 110.13. However, as long as the instrument is trading below the high, one shouldn’t exclude another decline to reach 38.2% and 50.0% fibo at 108.85 and 108.59.
