GBPUSD, “Great Britain Pound vs US Dollar”
As we can see in the H4 chart, the convergence made GBPUSD slow down its growth. The target of the long-term correctional uptrend is the retracement of 23.6% at 1.3067. However, if one considers the short-term ascending movement as a correction of the previous descending impulse, it can be seen that the correction has already reached the retracement of 50.0% and may yet continue. The next possible targets may be the retracements of 61.8% and 76.0% at 1.2977 and 1.3048 respectively. The support level is the low at 1.2661.
In the H1 chart, the descending correction continues. It has already reached the retracement of 50.0. The next downside targets may be the retracements of 61.8% and 76.0% at 1.2784 and 1.2749 respectively. The short-term resistance level is the high at 1.2936.
EURJPY, “Euro vs. Japanese Yen”
As we can see in the H4 chart, the convergence made EURJPY reverse and form a new rising impulse, which considered as another long-term correctional wave. After breaking the high at 131.98, the instrument may continue the correction. The targets of this correction may be retracements of 61.8% and 76.0% at 132.58 and 134.42 respectively. The support level is the low at 124.62.
In the H1 chart, the pair is trading upwards. At the same, the divergence is being formed, which may indicate a possible correctional downtrend. The targets of this descending movement may be the retracements of 23.6%, 38.2%, 50.0%, and 61.8% at 129.16, 128.50, 127.93, and 127.38 respectively.
