Fibonacci Retracements Analysis 31.07.2017 (GBP/USD, EUR/JPY)

GBP USD, “Great Britain Pound vs US Dollar”

At the H4 chart, the GBP/USD pair is forming a pre-reversal divergence, but may yet move upwards a bit in the short-term. The target of this short-term growth may be close to several significant post-correctional extensions between the retracements of 138.2% and 161.8% at 1.3199 and 1.3228 respectively. After reaching the target, the price may be corrected to the downside towards the retracements of 23.6% and 38.2% at 1.3055 and 1.2966 respectively.

At the H1 chart, the situation is pretty similar. The pair may start a new ascending movement only after breaking the local high at 1.3160. However, if we take into account that before starting the current movement the price formed the divergence, the current situation may be considered as the start of a new correction. The closest target is the retracement of 23.6% at 1.30325; the next one – 38.2% at 1.2941.

EUR JPY “Euro vs Japanese Yen”

As we can see at H4 chart, the EUR/JPY pair started a sideways correction. If the price breaks the current high at 130.76, it may continue growing towards the post-correctional extension at the retracement of 161.8% at 132.20. But even more ambitious upside target may be the retracement of 261.8% at 134.47. In the nearest future, the correction may yet continue towards 127.57, which is at the retracement of 38.2%.

At the H1 chart, the situation is similar.

RoboForex Analytical Department