EUR/USD
On the H4 chart the EUR/USD keeps rising towards the Fibo 261.8% level which is an important elongation level after a short-term downside correction. The 1.1588 mark can be the nearest target for the current upward move. After this level has been reached, a rebound can be expected. The currently formed divergence suggests this scenario. The 38.2% Fibo level (1.1405) will serve as the first major target of this correction, and then there will be 50.0% and 61.8% levels.
The H1-chart confirms the aforesaid. The divergence currently developed and all the major target levels that have been hit suggest a possible downside correction with targets between important levels 38.2% and 61.8% (between levels 1.1491 and 1.1444).
USD/JPY
On the H4-chart of USD/JPY we see the downside correction being developed. After the Fibo level 38.2% is reached, the levels 50.0% and 61.8% will serve as the next targets. Those levels correspond to 111.65 and 111.00 marks. But it is not improbable that the ascending move continues. If the price holds above 113.14 (23.6% Fibo level), it can go higher towards the local high. If this high is broken through, the pair can move even higher towards 116.25 (161.8% of Fibo elongation).
The H1-chart of USD/JPY shows that the convergence being formed currently may suggest the end of the downside move as the intermediate target zone has been reached. In this case the current downtrend can be first corrected by 38.2% (112.97 level), and then - by 50.0% (113.25). If the pair moves lower towards 111.38, this can trigger hitting the local low. 111.38 level corresponds to 261.8% Fibonacci elongation.
