empty
 
 

Forex Analysis & Reviews: Forecast for EUR/USD and GBP/USD on June 25. Boris Johnson encourages Britons to prepare for Brexit
time 25.06.2019 08:58 AM
time Relevance up to, 26.06.2019 08:34 AM

EUR/USD – 4H.

This image is no longer relevant

As seen on the 4-hour chart, the EUR/USD pair calmly continues the growth process in the direction of the correction level of 100.0% (1.1448). The rebound of quotations from this Fibo level will allow traders to count on a reversal in favor of the US dollar and a slight drop in the direction of the correction level of 76.4% (1.1367). There are no emerging divergences on June 25. There was very little news on Monday, or rather, it was not at all. Basically, traders discussed the main candidate for the post of British Prime Minister Boris Johnson, who, for example, probably Donald Trump is trying to appear in the press every day. But tonight will be a speech by Fed Chairman Powell at the economic forum. It is not known whether Powell will tell the market something new and interesting, but the fact that his speech will attract the attention of traders is unambiguous. Unfortunately, for the US dollar, this performance is equal to additional risks. Powell is unlikely to use "hawkish" rhetoric, so the probability of new disappointments among traders is higher. Consequently, the dollar may suffer again if there are new hints of a recession in the US and a decrease in the key rate in 2019.

The Fibo grid is built on extremums from March 20, 2019, and May 23, 2019.

Forecast for EUR/USD and trading recommendations:

The EUR/USD pair performed a consolidation above the correction level of 76.4%. Thus, I recommend to continue buying the euro today with a target of 1.1448, a protective order under the Fibo level of 76.4%. I recommend selling the EUR/USD pair after the rebound of quotes from the level of 100.0% to the correction level of 1.1367 and the stop-loss order over 1.1448.

GBP/USD – 4H.

This image is no longer relevant

The GBP/USD pair rebounded from the correction level of 76.4% (1.2661) and resumed growth in the direction of the Fibo level of 61.8% (1.2798). However, the bearish divergence of the CCI indicator allows traders to count on a reversal in favor of the US currency and a slight drop in quotations. The rebound of the pair from the Fibo level of 61.8% will work similarly in favor of the beginning of the fall. Meanwhile, Boris Johnson said that the country needs to prepare for a "hard" version of Brexit. This is probably Johnson's response to the statement of Donald Tusk, Chairman of the European Council, that there will be no new negotiations with London. In theory, this information may have a negative impact on the pound sterling, as the "hard" option is the worst option, which the Parliament has tried to block several times. However, Johnson is not afraid of this option. It remains only to find out whether Johnson's initiative will support the Parliament or will the story of the Theresa May deal repeat? By the way, most of the traders already consider Johnson the new Prime Minister, but this has not happened yet, so even in this matter there is no absolute clarity.

The Fibo grid is built on the extremes of January 3, 2019, and March 13, 2019.

GBP/USD – 1H.

This image is no longer relevant

As seen on the hourly chart, the pair pound/dollar has fulfilled the rebound from the correction level of 100.0% (1.2762) with the formation of the bearish divergence at the MACD indicator. However, at the moment, the pair is again approaching this level. The new rebound from 100.0% will again allow traders to expect a reversal in favor of the US dollar and a slight drop in the direction of the correction level of 76.4% (1.2701). Closing the pair's rate above the Fibo level of 100.0% will significantly increase the chances of further growth in the direction of the next correction level of 127.2% (1.2831).

The Fibo grid is based on the extremes of June 7, 2019, and June 18, 2019.

Forecast for GBP/USD and trading recommendations:

The GBP/USD pair has fulfilled the growth to the correction level of 100.0%. I recommend selling the pair with the target of 1.2701, with the stop-loss order above 1.2762, if the rebound from the level of 100.0% (hourly chart) is executed. I recommend buying the pair with the purpose of 1.2831, if the closing above the Fibo level is 100.0% and with the stop-loss order under 1.2762 (hourly chart).

Samir Klishi,
Analytical expert of InstaForex
© 2007-2022
Benefit from analysts’ recommendations right now
Top up trading account
Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.

  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • Ferrari from InstaForex
    Top up your account with at least $1,000
    join the contest and win Ferrari
    F8 Tributo
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and win $1,000
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS

Recommended Stories

EUR/USD: bullish bias intact despite better-than-expected US PPI

EUR/USD dropped a little after reaching 1.0588 today's high. Now, it's trading at 1.0540 at the time of writing. It is fighting hard to rebound after its sell-off

Ralph Shedler 17:59 2022-12-09 UTC+2

Trading Signal for GBP/USD on December 09-12, 2022: sell in case of pullback at 1.23-1.2343 (strong resistance)

Early in the American session, the British pound is trading around 1.2271 with a bullish bias and approaching the strong resistance at 1.23. The US data moved the market very

Dimitrios Zappas 17:55 2022-12-09 UTC+2

December 9, 2022 : EUR/USD daily technical review and trading opportunities.

The market remained under Selling pressure until the recent bullish break above 1.0000 was achieved. Now the market remains under buying pressure until significant downside rejection occurs around

Mohamed Samy 17:41 2022-12-09 UTC+2

December 9, 2022 : EUR/USD Intraday technical analysis and trading plan.

Intensive bullish price action was demonstrated around the lower limit of the current movement channel. Initial bullish targets around 1.0150 and 1.0500 were already reached. Price action around this key-level

Mohamed Samy 17:40 2022-12-09 UTC+2

December 9, 2022 : GBP/USD Intraday technical analysis and significant key-levels.

The next key-level to be visited was located around 1.2340. That's why, further bullish advancement was expected. Price action around 1.2340 was being watched for bearish rejection and a short-term

Mohamed Samy 17:39 2022-12-09 UTC+2

Short-term technical analysis on EURUSD for December 9th, 2022.

EURUSD remains in a bullish trend as price continues making higher highs and higher lows. However recent price action in EURUSD has given us a warning. Price has formed

Alexandros Yfantis 17:11 2022-12-09 UTC+2

Short-term technical analysis on Gold for December 9th, 2022.

Gold price is trading just below $1,800. Short-term trend remains bullish as price continues making higher highs and higher lows. Gold price has key support at $1,777 for the near

Alexandros Yfantis 17:08 2022-12-09 UTC+2

Technical analysis of GBP/USD for December 09, 2022

The GBP/USD pair has faced strong support at the level of 1.2173 because resistance became support. So, the strong resistance has been already faced at the level of 1.2173

Mourad El Keddani 15:24 2022-12-09 UTC+2

Daily Video Analysis: AUDCAD, D1 Bearish Reversal Opportunity

Today we take a look at AUDCAD. Combining advanced technical analysis methods such as Fibonacci confluence, correlation, market structure, oscillators and demand/supply zones, we identify high probability trading setups

Dean Leo 12:25 2022-12-09 UTC+2

AUDUSD Potential for Bullish Rise | 9th December 2022

Looking at the H4 chart, my overall bias for AUDUSD is bullish due to the current price being above the Ichimoku cloud, indicating a bullish market. If this bullish momentum

Dean Leo 12:20 2022-12-09 UTC+2
Can't speak right now?
Ask your question in the chat.