The EUR/USD acceleration was a tremendous market movement which was also seen in other financial instruments across the globe. The peak is most likely a wave 3 (green) of a wave A (blue) or alternatively a wave C.
The strongest and most impulsive price action most likely completed a wave 3 (green) and the current corrective retracement is indicating the potential of a wave 4 (green).
The GBP/USD broke above the resistance trend line (dotted red). Price is now moving towards the Fibonacci retracement levels which are targets.
The GBP/USD broke above the resistance (orange dotted) trend line and has hooked back to the 50% Fibonacci retracement level. This is most likely part of a bullish ABC zigzag.
The USD/JPY’s decline has been extremely steep similar to the movement on the EUR/USD.
The massive bearish momentum was part of wave 3 (purple) which most likely has been completed since price bounced back to the 50% Fibonacci retracement level. Waves typical find a turning spot at the wave 4 of a lower level which in this case is wave 4 green.
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Please note that the update is posted with permission from Admiral Markets
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