The price has achieved a series of descending waves reflected on the weekly candlesticks formations.
The EUR USD pair managed to break the critical support level of 1.2600, which represents 76.4% Fibonacci level for the entire upside wave that started from 1.1875 and topped at 1.4938.
The weekly chart shows that the long term basis is bearish and this downtrend was supported by the huge symmetrical triangle with a broken support.
Crude Oil price failed to settle above 93.00 in the third consecutive attempt, where it declined sharply yesterday to close trading near the critical support level of 91.45
The weekly chart shows that the correctional direction that started at the bottom of 12.03 has found a very solid resistance at 76.4% Fibonacci at 29.30 where it started to move lower affected by facing the resistance of the upside channel as seen on the provided graph.
Sterling found solid resistance to breach above 1.5835 level, and now, this level is representing confirmation level for two positive technical patterns, first one is Double Bottom, and the second is an ascending triangle, these technical patterns provide good chances to achieve some upside correction on the intraday basis.
Updating our previous analysis, we will find that the last bearish wave has reflected the bearish effect of the double top formation and it was limited at the retest level of the previous broken neckline at 1288.00.
Crude Oil price touched the ideal target of the previously completed rising wedge pattern –support level shown in the red dashed line- in addition to the main target of the previously suggested double top formation, this target met with support line of ascending channel appears clearly in the image above.
The weekly chart shows how the bullishness of the index has been limited when it approached the resistance of the upside channel that carried the movements over medium term basis.
The USDJPY pair declined yesterday sharply to break the critical support levels mainly the 79.50 level, and now settled below it, and this what brings the price back to the bearish scenario.
