EURUSD and GBPUSD: GBPUSD at the threshold of 1.27000

• Yesterday’s bullish consolidation lifted the EURUSD to 1.08850 levels. 
• Pair GBPUSD has been in a stable bullish trend since the beginning of this week. 

EURUSD chart analysis

Yesterday’s bullish consolidation lifted the EURUSD to 1.08850 levels. After that, we see a pullback to support at the 1.08500 level. There we get additional support in the EMA50 moving average. During this morning’s Asian trading session, the pair continued to hold above the EMA50, and now, in the previous hours, we see a slight bullish consolidation and recovery to the 1.08600 level.

We made a minor double bottom and expected to start further recovering to the bullish side. We need a new impulse for something like that and a move above the 1.08700 level, to begin with. Potential higher targets are 1.08800 and 1.08900 levels. We need a negative consolidation and pullback below the EMA50 and 1.08500 levels for a bearish option. After that, the pair could slide down to the 1.08400 level, and there, it will retest the weekly open price and the EMA200 moving average.

GBPUSD chart analysis

Pair GBPUSD has been in a stable bullish trend since the beginning of this week. Yesterday, we managed to climb above the 1.27000 level again after two weeks. The first attempt was stopped there, and the pair retreated to the 1.26700 level. During the Asian trading session, we managed to consolidate around the 1.26800 level. With the beginning of the EU session, the pound began to strengthen, and thus, the pair moved to the 1.26950 level.

We are now close to retesting 1.27000 and breaking above. Potential higher targets are 1.27100 and 1.27200 levels. We need a negative consolidation and pullback to support a bearish option at 1.26700. Additional support in that zone is the EMA50 moving average. If we fall below it, the chances of further retreat increase. Potential lower targets are 1.26600 and 1.26500 levels.