EURUSD and GBPUSD: EURUSD should test the 1.07000 level
- On Friday, EURUSD based its movement on holding above the EMA50 moving average.
- On Friday, GBPUSD found support at the 1.21873 level.
EURUSD chart analysis
On Friday, EURUSD based its movement on holding above the EMA50 moving average. He succeeded in this, and during the previous Asian trading session, the pair moved around 1.06800 levels. Now, at the beginning of the EU session, we see a bullish attempt to start a consolidation that could break the resistance at the 1.06950 level. After that, we would move up to the 1.07000 level, which should positively impact the further movement of the EURUSD.
Potential higher targets are 1.07200 and 1.07400 levels. For a bearish option, we need a negative consolidation and pullback to the 1.06700 support level. There, we would again have the opportunity to test the EMA50 moving average. A break below would negatively affect the euro, and the pair would continue to retreat, looking for support at lower levels. Potential lower targets are 1.06600 and 1.06400 levels.
GBPUSD chart analysis
On Friday, GBPUSD found support at the 1.21873 level. It was also last week’s low. The pair gains support in that zone and moves again above the 1.22000 level. During the Asian trading session, we managed to hold above the 1.22200 level, and now we see a bullish impulse that could trigger a stronger recovery above the 1.22400 level. We have additional pressure at that level in the EMA50 moving average, and we need a break above to move to the bullish side.
Potential higher targets are 1.22600 and 1.22800 levels. For a bearish option, we need a negative consolidation and a new pullback below the 1.22200 level. So, we would return to test last week’s support zone. With the breakout below, we continue the bullish trend and will see a new low formation. Potential lower targets are 1.21800 and 1.21600 levels.
