EURUSD and GBPUSD: The Euro Continues Its Bullish Recovery
- During the Asian trading session, the euro continues its bullish recovery, forming a new higher high at the 0.98740 level.
- The pound formed a new ten-day high this morning at the 1.14400 level.
EURUSD chart analysis
During the Asian trading session, the euro continued its bullish recovery, forming a new higher high at the 0.98740 level. In the previous week, the euro was freed from the pressure of the dollar, and for now, it is using it to its advantage.
Now we see consolidation in the 0.98300-0.98700 range, and we need a break above this structure to continue the bullish trend until the end of this week. Potential higher targets are 0.99000, 0.99500 levels.
We need a negative consolidation and pullback below the 0.98000 level for a bearish option. Afterward, the pair could go down to the next lower support zone. Potential lower targets are 0.97500 and 0.97000 levels.
GBPUSD chart analysis
During the Asian session, the pound formed a new ten-day high this morning at the 1.14400 level. Below we see a pullback from this morning’s high to the 1.13000 level. If the current scenario continues, we could see a further retreat of the pound to the 1.11500 level, the previous low from the market close last week.
To continue, we need a negative consolidation and a move below the 1.11000 support level. We would have additional support in that place in the lower trend line. If we are not able to maintain at that level, the pair will make a break below and continue to fall.
Potential lower targets are 1.10000 and 1.09000 levels. We need to get back to the 1.14000 resistance zone for a bullish option. We need a break above, then we can try to climb to the 1.15000 level. A potential higher target is the 1.16000 level.