Fibonacci Retracements Analysis 16.10.2018 (EURUSD, USDJPY)

EURUSD, “Euro vs US Dollar”

In the H4 chart, the uptrend continues; it has already reached the retracement of 38.2%. The next possible targets may be the retracements of 50.0% and 61.8% at 1.1624 and 1.1668 respectively. The support level is the low at 1.1432.

As we can see in the H1 chart, EURUSD is about to complete the current short-term correction and may later break the high at 1.1610. After that, the price may continue trading towards the post-correctional extension area between the retracements of 138.2% and 161.8% at 1.1639 and 1.1657 respectively. In case the correction continues, the next downside target the retracement of 50.0% at 1.1522.

USDJPY, “US Dollar vs. Japanese Yen”

As we can see in the H4 chart, the divergence made USDJPY reverse and start a new correction to the downside, which has already reached the retracement of 23.6%. The next targets may be the retracements of 38.2% and 50.0% at 110.77 and 109.58 respectively. The main resistance level is the high at 114.55.

In the H1 chart, the convergence made the pair start a new short-term pullback. The possible targets are the retracements of 23.6%, 38.2%, and 50.0% at 112.31, 112.74, and 113.09 respectively. The support level is the low at 111.62.