EUR/USD

Bullish traders closed the previous week as optimistically as possible. They managed to leave the consolidation zone and consolidate above last week's key resistances 1.2064 (weekly level) - 1.2092 (upper border of the daily cloud). The main tasks now for confirming and developing the bullish potential are to maintain the overcame levels as supports, consolidate in the bullish zone relative to the daily cloud, and form a daily upward target. If the growth continues, the pivot points will be the upward target for the breakdown of the Ichimoku daily cloud and the nearest maximum extremes (1.2243-1.2349).

However, if the bulls lose the range of 1.2064-92 and the euro manages to sharply consolidate below, then we can expect the formation of a rebound from the encountered resistance. In case of a decline, the next support will be the daily short-term trend set at 1.2030, then the level will be around 1.1975 (a cluster of levels of different time frames).

The bulls have the advantage in the smaller time frames. They develop an upward movement and enjoy the support of all analyzed technical instruments. Here, the resistance levels of the classic pivot levels (1.2126 - 1.2157 - 1.2213), which are currently located at the upper limit of the day, are the intraday upward targets.

At the moment, there is a slowdown. The key levels in the lower halves are now the support levels, which are joining forces at 1.2070 and 1.2044 (central pivot level + weekly long-term trend). A consolidation below which will change the current balance of power. It is worth noting that in this area, confirmation of preferences will come simultaneously from the higher time frames. The next downward targets may be the support of the classic pivot levels at 1.1983 and 1.1952.

GBP/USD

Last week, the pound tested the resistance zone of the weekly and monthly level of 1.3955 (weekly short-term trend + upper border of the daily cloud) and 1.4002 (upper border of the monthly cloud). At the same time, it formed a weekly rebound (long upper shadow on a weekly candlestick). In this situation, it should be noted that the pair settled on the support of the daily levels (1.3839-45) when the rebound was formed. As a result, a longer slowdown or consolidation is now possible. The breakdown of 1.3955-1.4002 will open up new bullish prospects, and the nearest will be the daily target for the breakdown of the Ichimoku cloud and the maximum extreme (1.4240).

In turn, the breakdown of the area of 1.3839-45 and a reliable consolidation below will allow us to talk about the confirmation of the previous week's rebound and the prospects for its implementation. The following supports can be noted at 1.3798 and 1.3710-1.3669.

The key advantages in the smaller time frames continue to be on the bulls' side. A breakout of the resistance of the weekly long-term trend (1.3917) will change the current balance of power. In this case, the next upward pivot point will be 1.3964 (R3). Alternatively, a consolidation below the 1.3867 (central pivot level) can affect the distribution of power in the lower halves. The intraday support is set at 1.3840 - 1.3805 - 1.3778 (classic pivot levels).

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Ichimoku Kinko Hyo (9.26.52) and Kijun-sen levels in the higher time frames, as well as classic Pivot Points and Moving Average (120) on the H1 chart are used in the technical analysis of the trading instruments.