Fibonacci Retracements Analysis 04.10.2017 (EUR/USD, USD/JPY)

EUR USD, “Euro vs US Dollar”

At the H4 chart, the EUR/USD pair is trading to the downside to reach the retracement of 38.2% at 1.1510. However, the convergence that is being formed at the moment may indicate a possible correction with the target at the retracement of 50.0% at 1.1868.

As we can see at the H1 chart, after being corrected to the upside by 38.2%, the pair formed another descending impulse and reached new local lows. At the same time, the price is forming the convergence with possible targets in the area between the retracements of 23.6% and 50.0%.

USD JPY, “US Dollar vs. Japanese Yen”

At the H4 chart, the USD/JPY pair is forming the descending correction in the form of the Flag pattern. The main targets of the correction may be the retracements of 23.6%, 38.2%, and 50.0% at 111.847, 110.990, and 110.290 respectively. However, the price may yet resume moving upwards. After breaking the current high at 113.255, the instrument may move towards the post-correctional extension area between the retracements of 138.2% and 161.8% at 113.630 and 113.875 respectively.

At the H1 chart, the pair is expected to form another correction to the downside to reach the retracements of 50.0% and 61.8% at 112.350 and 112.150 respectively.

RoboForex Analytical Department