Fibonacci Retracements Analysis 05.02.2020 (GBPUSD, EURJPY)

GBPUSD, “Great Britain Pound vs US Dollar”

As we can see in the H4 chart, GBPUSD is still forming expanding Triangle pattern, which means that the pair may continue falling to reach the low at 1.2904. If the price breaks this level, the instrument may continue its decline towards 50.0% and 61.8% fibo at 1.2856 and 1.2700 respectively.

The H1 chart shows a slight pullback after a quick decline. Judging by MACD dynamics, after completing the pullback the pair may resume moving downwards to reach 50.0% fibo (1.2855).

EURJPY, “Euro vs. Japanese Yen”

As we can see in the H4 chart, after falling and reaching 38.2%, EURJPY has started a new pullback to the upside. Possibly, the pair may break the resistance at 23.6% fibo (121.21) and then continue growing towards the high at 122.87 or even mid-term 61.8% fibo at 123.05. However, this scenario won’t be valid as long as the price hasn’t broken the resistance. In this case, the instrument is expected to continue its decline towards 50.0% and 61.8% fibo at 119.36 and 118.55 respectively.

The H1 chart shows a new pullback to the upside, which has already reached 38.2% fibo. The next targets may be 50.0% and 61.8% fibo at 121.32 and 121.68 respectively. The support is the low at 119.77. If the price breaks it, the mid-term decline will continue.