EURUSD, “Euro vs US Dollar”
In the H4 chart, EURUSD is forming another correctional wave towards the low and the post-correctional extension area between 138.2% and 161.8% fibo at 1.0942 and 1.0889 respectively. However, we shouldn’t exclude a possibility that the pair may test the low and rebound from it. In this case, the instrument may trade upwards to reach the local high at 1.1109, then 61.8%, and 76.0% fibo at 1.1126 and 1.1172 respectively.
Looking at the H1 chart, we may assume that the price’s reaching 76.0% fibo with a pullback towards 61.8% fibo is a temporary thing. In this case, the pair is expected to form a new descending impulse to reach 1.0927. At the same time, there is a convergence on MACD, which may indicate a possible reverse in the nearest future.
USDJPY, “US Dollar vs. Japanese Yen”
As we can see in the H4 chart, having completed the correctional uptrend at 50.0% fibo, USDJPY is starting a new descending wave after the divergence on MACD. By now, the pair has already reached 23.6% fibo and may continue moving towards 38.2%, 50.0%, and 61.8% fibo at 106.46, 105.99, and 105.42 respectively. The key target of the current descending wave is the low at 104.45.
In the H1 chart, the pair started a new short-term pullback, which has already reached 23.6% fibo. In the future, the correction may continue towards 38.2% and 50.0% fibo at 107.76 and 107.89 respectively. If the price breaks the low at 107.31, the mid-term downtrend may continue.
