Posted by fxmars.com
EURUSD:
After the break through the purple bearish corridor from May 15, the price continued its bullish movement after the orange bullish trend line from June 12, until it reached the already broken 1.36711 neck line of the big double top formation as a resistance. The certain test point matches with the area of the blue bearish trend line from 2008 (MN chart), which made the area stronger. A bearish bounce appeared afterwards and the price dropped to the 61.8% Fibonacci Level of the orange bullish trend. The stochastic oscillator follows the movement of the price, which supports the current bearish activity. If a break in the 61.8% Fibonacci level appears, we might see the price dropping to 1.35100, which is the 0.00% Fibonacci level. If a change in the stochastic oscillator appears, the price might get supported and a new increase to 1.36711 might follow.
USDJPY:
After the orange bearish trend line from June 5 brought the price to the 101.197 support, the price bounced in bullish direction and the orange trend got broken, which happened right after the stochastic oscillator gave a signal for an oversold market. For this reason, we believe that the price would probably do another increase either to the 102.770 resistance or at least to the purple bearish line from January 2. Having in mind that the stochastic is about to give a signal for an overbought market, we might expect the price to create a correction, for example to the orange bearish line.
GBPUSD:
After breaking its 5-years high at 1.70475, the Cable increased with about 110 more pips and then appeared a decrease in the intensity of the bullish movement. At the same time, the stochastic oscillator gives us a signal for an overbought market, which creates the impression that a new resistance is formed. For this reason, it is likely for the price do a correction of the bullish movement to the orange line, which connects the last two bottoms of the price, to the already broken resistance at 1.70475, which currently plays the role of a support, and eventually to the lower level of the blue bullish corridor from November 2013.
EURUSD:
After the break through the purple bearish corridor from May 15, the price continued its bullish movement after the orange bullish trend line from June 12, until it reached the already broken 1.36711 neck line of the big double top formation as a resistance. The certain test point matches with the area of the blue bearish trend line from 2008 (MN chart), which made the area stronger. A bearish bounce appeared afterwards and the price dropped to the 61.8% Fibonacci Level of the orange bullish trend. The stochastic oscillator follows the movement of the price, which supports the current bearish activity. If a break in the 61.8% Fibonacci level appears, we might see the price dropping to 1.35100, which is the 0.00% Fibonacci level. If a change in the stochastic oscillator appears, the price might get supported and a new increase to 1.36711 might follow.
USDJPY:
After the orange bearish trend line from June 5 brought the price to the 101.197 support, the price bounced in bullish direction and the orange trend got broken, which happened right after the stochastic oscillator gave a signal for an oversold market. For this reason, we believe that the price would probably do another increase either to the 102.770 resistance or at least to the purple bearish line from January 2. Having in mind that the stochastic is about to give a signal for an overbought market, we might expect the price to create a correction, for example to the orange bearish line.
GBPUSD:
After breaking its 5-years high at 1.70475, the Cable increased with about 110 more pips and then appeared a decrease in the intensity of the bullish movement. At the same time, the stochastic oscillator gives us a signal for an overbought market, which creates the impression that a new resistance is formed. For this reason, it is likely for the price do a correction of the bullish movement to the orange line, which connects the last two bottoms of the price, to the already broken resistance at 1.70475, which currently plays the role of a support, and eventually to the lower level of the blue bullish corridor from November 2013.
