EURUSD and GBPUSD: The Euro is recovering above 1.08500

• During the Asian trading session, EURUSD initiated a bullish consolidation from the 1.08460 level. 
• During the Asian trading session, GBPUSD manages to recover from Friday’s drop to 1.24450 levels.

EURUSD chart analysis

During the Asian trading session, EURUSD initiated a bullish consolidation from the 1.08460 level. The pair is now at the 1.08800 level, and if this consolidation continues, we could soon test the 1.09000 level. If we manage to reach that level, it would be preferable to station ourselves in that zone before the next bullish continuation.

Potential higher targets are 1.09250 and 1.09500 levels. EMA50 moving average is in the area around 1.09600 levels. We need a negative consolidation and a new test of the previous low for a bearish option. A fall below would mean a further retreat and the formation of the next lower low. Potential lower targets are 1.08200 and 1.08000 levels.

GBPUSD chart analysis

During the Asian trading session, GBPUSD manages to recover from Friday’s drop to 1.24450 levels. We are now at the 1.24850 level, and we could see the pound at the 1.25000 level by the end of the day. At that level, we can expect the next resistance, and we need to move above and stay there before the next bullish impulse.

Potential higher targets are 1.25250 and 1.25500 levels. We need a negative consolidation and pullback to the previous support zone for a bearish option. Potential lower targets are 1.24250 and 1.24000 levels.