Fibonacci Retracements Analysis GBP/USD, EUR/JPY
Dmitriy Gurkovskiy | Oct 14, 2020 11:51
GBP/USD
As we can see in the H4 chart, a local divergence on MACD made GBP/USD finish the correctional uptrend, which has corrected the previous descending wave by 50.0%. there is a possibility of another rising impulse towards 61.8% fibo at 1.3174 but this scenario is rather unlikely. The key resistance is the high at 1.3482. The main scenario implies further decline to break the low at 1.2675 and then reach the long-term 50.0% fibo at 1.2445.
In the H1 chart, the asset has reached 38.2% fibo after a local divergence on MACD and right now it is heading towards 50.0% fibo at 1.2879. Later, the market may continue falling to reach 61.8% and 76.0% fibo at 1.2831 and 1.2773 respectively but the key downside target is the low at 1.2675. The resistance is the local high at 1.3083.
EUR/JPY
As we can see in the H4 chart, after breaking 50.0%, the correctional uptrend has failed to reach 61.8% fibo at 125.28. At the moment, after a local divergence on MACD, EUR/JPY is starting another mid-term descending wave towards the low at 122.38. If later the price breaks this level, the asset may continue falling to reach 50.0% and 61.8% fibo at 121.21 and 119.83 respectively.
The H1 chart shows a new decline after a divergence on MACD. After falling and reaching 50.0% fibo, the asset is about to rebound. After completing the pullback, the instrument may continue falling towards 61.8% and 76.0% fibo at 123.41 and 123.03 respectively, and then the low at 122.38. The local resistance is the high at 125.08.
Get The App
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.