Fibonacci Retracements Analysis 02.05.2018 (GBPUSD, EURJPY)

GBPUSD, “Great Britain Pound vs US Dollar”

As we can see in the H4 chart, GBPUSD continues its descending movement, which has already reached the retracement of 50.0%. The next downside targets may be the retracements of 61.8% and 76.0% at 1.3553 and 1.3362 respectively. The resistance level is at 1.4060.

In the H1 chart, the convergence is being formed, which may indicate a possible correction to the upside in the future. The targets of this pullback may be the retracements of 23.6%, 38.2%, 50.0%, and 61.8% at 1.3680, 1.3740, 1.3789, and 1.3838 respectively.

EURJPY, “Euro vs. Japanese Yen”

As we can see in the H4 chart, after being corrected to the upside by 50.0%, EURJPY was forced to reverse due to the divergence and has already been corrected downwards by 38.2%. The next downside targets may be the retracements of 50.0% and 61.8% at 131.20 and 130.68 respectively. However, if the price starts a new ascending impulse and breaks the short-term high, the instrument may continue the mid-term correctional uptrend and reach the retracement of 61.8% at 134.23.

In the H1 chart, the convergence is being formed, which may indicate a possible trend reverse. The targets of this pullback may be the retracements of 38.2%, 50.0%, and 61.8% at 132.30, 132.53, and 132.75 respectively.

RoboMarkets Analytical Department