GBPUSD, “Great Britain Pound vs US Dollar”
As we can see in the H4 chart, GBPUSD is forming the ascending impulse towards the post-correctional extension area between the retracements of 138.2 and 161.8% at 1.4352 and 1.4417 respectively. In the short-term, the price may be corrected downwards to reach 1.4244. At the same time, one can see the divergence being formed, which may indicate a possible reverse after the instrument reaches its upside targets.
In the H1 chart, the divergence made the pair reverse and start a new decline, which has already reached the retracement of 23.6%. The next downside targets may be the retracements of 38.2% and 50.0% at 1.4219 and 1.4171 respectively. However, if the instrument breaks the current high at 1.4376, the uptrend will continue.
EURJPY, “Euro vs. Japanese Yen”
As we can see in the H4 chart, the convergence made EURJPY reverse and start a new growth, which has already reached the retracement of 38.2% and may continue towards the retracements of 50.0% and 61.8% at 133.23 and 134.22 respectively. The support level is the low at 128.94.
In the H1 chart, the short-term divergence is being formed, which may indicate a possible correction to the downside to reach the retracements of 38.2%, 50.0%, and 61.8% at 131.82, 131.47, 131.12 respectively.
RoboForex Analytical Department