USDCHF and USDJPY: USDJPY is holding above the 142.50

• During the Asian trading session, USDCHF gained support at the 0.87300 level.
• In the first week of August, USDJPY moved in the 142.00-143.90 range.

USDCHF chart analysis

During the Asian trading session, USDCHF gained support at the 0.87300 level. After that, we see a breakout of the Asian consolidation and a new bullish impulse up to the 0.87800 level. It is very possible that we will see a continuation of the recovery and a jump to 0.88000, the previous resistance level.

To continue on the bullish side, we need a break above and a positive consolidation to push USDCHF to higher levels. Potential higher targets are 0.88100 and 0.88200 levels. We need a negative consolidation and a return to this morning’s support zone at the 0.87300 level for a bearish option. Then, we need to make a breakout below and thus confirm the bearish option. Potential lower targets are 0.87200 and 0.87000 levels. Additional support for the dollar could be in the EMA50 moving average at the 0.87200 level.

USDJPY chart analysis

In the first week of August, USDJPY moved in the 142.00-143.90 range. During the Asian trading session, the pair moved in a narrow range of 142.30-142.80. In the first few hours of the EU session, a bullish consolidation on the chart made a breakthrough above 142.80 and moved us up to the 143.00 level.

For the bullish option, we need a continuation of the positive consolidation. Potential higher targets are 143.25 and 143.50 levels. We need a negative consolidation and a pullback of USDJPY to the 142.00 support level for a bearish option. Additional support in that zone is in the EMA50 moving average. A break below shows a possible drop in the dollar and a visit to lower support levels. Potential lower targets are 141.75 and 141.50 levels.