GBPUSD, “Great Britain Pound vs US Dollar”
As we can see in the H4 chart, GBPUSD has reached the retracement of 23.6% and right now is still being corrected upwards. After breaking the previous high, the price is trading towards the post-correctional extension area between the retracements of 138.2% and 161.8% at 1.3143 and 1.3203 respectively. The support level is at 1.2785.
In the H1 chart, the divergence made the pair start a new downtrend, which has already reached the retracement of 23.6%. The next downside targets may be the retracements of 38.2% and 50.0% at 1.2925 and 1.2785 respectively.
EURJPY, “Euro vs. Japanese Yen”
As we can see in the H4 chart, after being corrected downwards by 50.0%, EURJPY has started a new rising impulse, which is heading towards the high at 130.86. If the price breaks the high, the instrument may continue growing to reach the post-correctional extension area between the retracements of 138.2% and 161.8% at 132.00 and 132.70 respectively. However, in case the pair decides to continue its decline, the target will be the retracement of 61.8% at 127.20.
In the H1 chart, the convergence made the pair reverse and start a new rising correction, which has already reached the retracement of 61.8%. The next upside targets may be the retracements of 76.0% at 130.13.
