EURUSD and GBPUSD: Euro above 1.0900 ahead of US CPI
- During the Asian trading session, EURUSD moved up to 1.09375 levels.
- During the Asian trading session, GBPUSD managed to hold above the 1.24300 level.
EURUSD chart analysis
During the Asian trading session, EURUSD moved up to 1.09375 levels. For now, we have resistance at that level, and the euro is retreating to the 1.09190 level. Expectations are that we will probably see a continuation of the growing trend. Potential higher targets are 1.09450 and 1.09500 levels. At the beginning of the US trading session, we expect the CPI report on monthly and annual inflation and news on Core CPI. Analysts expect that we could see lower inflation than in the previous month. If there were such data, it would mean that the FED made the right move by increasing interest rates. We have another important news in the afternoon: the BoC and the interest rate report. Forecasts are that the interest rate could remain at the current 4.5% level.
GBPUSD chart analysis
During the Asian trading session, GBPUSD managed to hold above the 1.24300 level. This morning’s pound high is the 1.24464 level, after which we see a pullback all the way to the 1.24100 level. For now, we have managed to stay above that level and stop this decline. If the negative consolidation continues, the pair could go down to the 1.24000 level. Additional support for the pound at that level is in the EMA50 4h moving average. Breaking below this support, GBPUSD could visit the lows from the beginning of the week. Potential lower targets are 1.23750 and 1.23500 levels. Among the important news for the pound, we can single out the speech of Bank of England (BOE) Governor Andrew Bailey.
