EURUSD and GBPUSD: The Euro stagnates at the 1.06400 level
- During the Asian trading session, the pair EURUSD hovered around the 1.06500 resistance level.
- During the Asian trading session, GBPUSD manages to hold above the 1.20000 level.
EURUSD chart analysis
During the Asian trading session, the pair EURUSD hovered around the 1.06500 resistance level. The market is still quiet after the Christmas holidays. We are still in a bullish trend with resistance at the 1.06500 level. We need a break above for a more concrete sign of continued euro recovery. The next target is the 1.07000 level, where we could expect the next resistance. For the bearish option, we need a negative consolidation and withdrawal of the euro to the support zone 1.05750-1.06000. A breakout of the euro below would signal that we could see a further retreat of the European currency. Potential lower targets are 1.05500 and 1.05000 levels. We have no important news from the European market this week.
GBPUSD chart analysis
During the Asian trading session, GBPUSD manages to hold above the 1.20000 level. Then followed a positive consolidation that moved the pair GBPUSD to the 1.20500 level. We could expect to see a continuation of the pound’s rise towards the 1.21000 resistance level. A breakout of the GBPUSD above would form a new higher high, confirming that we could see further growth of the British pound against the US dollar. Potential higher targets are 1.21500 and 1.22000 levels. We need a negative consolidation and pullback below the 1.20000 level for a bearish option. We would see a further pullback of the pound to the next lower support. Potential lower targets are 1.19500 and 1.19000 levels.
