Currency pair GBP/USD
The GBP/USD has two likely wave scenarios after last week’s general parliamentary election in the UK. 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.
The GBP/USD could be building an ABC (orange) correction but a break above the 100% level invalidates the bearish wave 2 (brown).
Currency pair EUR/USD
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).
The EUR/USD invalidates wave 2 (orange) if price manages to break above the 100% Fib level.
Currency pair USD/JPY
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).
The USD/JPY would invalidate the wave 2 (orange) if price breaks below the 100% Fibonacci level.
