EURUSD and GBPUSD: GBPUSD is holding above the 1.28000

• During the Asian trading session, EURUSD traded below the 1.09400 level. 
• During the Asian trading session, GBPUSD managed to hold above the 1.28000 level. 

EURUSD chart analysis

During the Asian trading session, EURUSD traded below the 1.09400 level. There was an increase in bearish pressure at the beginning of the EU session, and the pair is starting to retreat. The pressure is now at the 1.09300 level, and we need a break below for further continuation to the bearish side.

On Friday, we had a pullback to the 1.09200 level and managed to get support at that level. Today we could retest that level; if we fail to hold above, the pair could slip and visit the 1.09000 level. We need a positive consolidation and a move above the 1.09500 level for a bullish option.

Thus, they would break above this morning’s resistance zone, and we would have a good opportunity to continue on the bullish side. Potential higher targets are 1.09600 and 1.09700 levels.

GBPUSD chart analysis

During the Asian trading session, GBPUSD managed to hold above the 1.28000 level. The pound remains stable, and we could see a continuation of the recovery and a break above the 1.28500 level. We then need to hold higher before continuing towards the 1.29000 level. We need a negative consolidation and a drop below the 1.28000 level for a bearish option.

After that, we could expect to see a continuation of the pullback and a test of the 1.27500 support level. Potential lower targets are 1.27000 and 1.26500 levels. We have very important news for the pound on Thursday: the BoE’s future interest rate report. The forecast is a new increase in the interest rate from 4.50% to 4.75%.