GBPUSD, “Great Britain Pound vs US Dollar”
As we can see in the H4 chart, the divergence made the pair start a new decline, which may be considered as a descending correction. At the same time, one should realize that only a decline towards the low at 1.1409 and a breakout of this level may really force a trend reversal. If the price breaks the low at 1.1409, the instrument may continue falling towards the post-correctional extension area between 138.2% and 161.8% fibo at 1.1365 and 1.0996 respectively. After finishing the correctional downtrend, the price may resume trading upwards to reach the local high at 1.2648 and then 50.0% and 61.8% fibo at 1.2892 and 1.3242 respectively.
The H1 chart shows a more detailed structure of the current correction. The pair is approaching 38.2% fibo at 1.2175 and may later reach 50.05% fibo at 1.2030. The resistance is the high at 1.2648. MACD lines are directed downwards, thus indicating further decline.
EURJPY, “Euro vs. Japanese Yen”
As we can see in the H4 chart, EURJPY is slowing and steadily falling towards its key lows at 116.13 and 115.85. If these levels are broken, the instrument may continue trading towards the post-correctional extension area between 138.2% and 161.8% fibo at 113.20 and 111.55 respectively. The price may yet try to reach 76.0% fibo at 121.25, but this scenario is rather unlikely.
In the H1 chart, the local convergence made the pair start a new correctional uptrend, which has already reached 23.6% fibo. The next upside targets may be 38.2%, 50.0%, and 61.8% fibo at 117.30, 117.63, and 117.96 respectively. The support is the low at 116.22.