Fibonacci Retracements Analysis 17.06.2020 (GBPUSD, EURJPY)

GBPUSD, “Great Britain Pound vs US Dollar”

As we can see in the H4 chart, after updating the high and reaching the mid-term 50.0% fibo at 1.2892, GBPUSD started a new descending impulse due to the divergence and has already reached 23.6% fibo. The next downside targets may be 38.2%, 50.0%, and 61.8% fibo at 1.2277, 1.2110, and 1.1946 respectively. The resistance is the high at 1.2813. If the price breaks this level, the instrument may resume trading upwards.

The H1 chart shows more detailed structure of the current descending movement. After the convergence, the pair is correcting to the upside. Considering the potential for a new rising impulse towards the high at 1.2813, the price may break it and then continue moving towards the post-correctional extension area between 138.2% and 161.8% fibo at 1.2861 and 1.2928 respectively.

EURJPY, “Euro vs. Japanese Yen”

As we can see in the H4 chart, after reaching 38.2% fibo, EURJPY is correcting to the downside towards 50.0% and 61.8% fibo at 119.87 and 118.82 respectively. After finishing the pullback, the instrument may start a new rising wave towards the mid-term 50.0% fibo at 125.93 but only after breaking the high at 124.43.

In the H1 chart, EURJPY is correcting to the upside after completing the descending wave and has already reached 38.2% fibo. Later, the market may reach 50.0% and 61.8% % fibo at 122.34 and 122.83 respectively. However, if the price breaks the low at 120.25, it may resume the descending tendency.