GBP/USD Awaits S&R Breakout after UK Election 2017

Juni 12, 2017 05:45

GBP/USD

4 hour

Last week the UK held a general parliamentary election. Please visit the dedicated election page for more information on the event.

The GBP/USD has two likely wave scenarios. One variant is bullish where the Cable is completing a retracement within wave 4 (green). The alternative is a bearish reversal as indicated by the impulsive wave 123 (red). A breakout above the solid support and resistance (S&R) trend lines would indicate which direction is more likely.

1 hour

The GBP/USD could be building an ABC (orange) correction but a break above the 100% level invalidates the bearish wave 2 (brown).

EUR/USD

4 hour

The EUR/USD was unable to break the 100% Fib resistance level at 1.13 (red line) and the failure to break the 1.13 invalidation level keeps the current wave structure intact. A break below support (blue) would increase the chance of a wave 3 (blue).

1 hour

The EUR/USD invalidates wave 2 (orange) if price manages to break above the 100% Fib level.

USD/JPY

4 hour

The USD/JPY is testing both support (blue) and resistance (red) trend lines. A break above resistance could see price challenge the Fibs of wave 3 (brown).

1 hour

The USD/JPY would invalidate the wave 2 (orange) if price breaks below the 100% Fibonacci level.

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