EUR/USD

The bulls are currently trying to leave the consolidation zone and break through the historical resistance level of 1.2243. It was previously mentioned that a consolidation above will open the way upwards to the following pivot points – the target for the breakdown of the daily Ichimoku cloud (1.2345 - 1.2416) and the maximum extremum (1.2349). At the moment, the nearest support combines several levels at once around 1.2150 (daily short-term trend + daily Fibo Kijun + historical level).

Yesterday, the bears were not able to hold on to the situation and reverse the moving average. As a result, the opponent continues to rise after breaking through the key levels in the smaller time frames. Today, there is a new high and the resistance 1.2263 (R2) is being tested. The upward pivot point is 1.2297 (R3). Currently, the key levels act as supports, combining their efforts at the range of 1.2208-05 (central pivot level + weekly long-term trend). In turn, the supports of the classic pivot levels can be seen at 1.2181 - 1.2147 - 1.2123 today.

GBP/USD

The supports that combine the levels of the daily target for the breakdown of the Ichimoku cloud (1.4137 - 1.4090) and the daily short-term trend (1.4119) continue to restrain the situation from developing a full-fledged downward correction. As a result, the consolidation stage continues below the important historical resistance of 1.4240. This border separates bullish traders from the recovery of the upward trend at the higher time frames.

The consolidation in the higher time frames hinders the development of the directional movement in the smaller ones. Yesterday, the bears had some advantages, but they did not achieve significant results. Today, the pair is trading above the key levels, so the initial advantage is for the bulls. They tested the resistance of 1.4205 (R2), followed by the level of 1.4240 (R3).

On the other hand, the breakdown of support for the key levels of 1.4144-62 (central pivot level + the weekly long-term trend) will deprive the pound of the bullish advantage on H1 and return the relevance to the downward pivot points 1.4118 - 1.4083 - 1.4057 (supports 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.