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27.05.2020 11:00 AM
Technical analysis recommendations for EUR/USD and GBP/USD on May 27

EUR / USD

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Yesterday, the bulls tried, managing to close the day above the important weekly resistance of 1.0934 - 65 (Fibo Kijun + Tenkan). Today, these levels in the lower halves will serve as a support. If successful, then the pair will be able to consolidate and maintain the results achieved. As a result, we can expect further strengthening of the bullish sentiment and testing of the next significant resistance grouped around 1.1067-88 (the upper border of the daily cloud + weekly Kijun and Senkou Span A + monthly Tenkan). A return under 1.0934-65 will be the beginning of another rebound from the upper boundaries of the daily sideways movement zone. Further, the key role will still belong to the center of the movement, led by the daily medium-term trends (1.0873), its loss is the return of bearish advantages to the market.

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The lower time frames are now in agreement with the conclusions of the higher time intervals. Today, the key H1 levels form the support zone 1.0957-39 (central Pivot level + weekly long-term trend), which is responsible for bullish interests and preserves their advantages. Consolidation below 1.0957-39 will give an advantage to the bearers of the lower halves, and the upper ones will serve as the beginning of the formation of rebound from the met resistance of 1.0965-34. The resistances of the classic Pivot levels are located today at 1.1021 - 1.1060 - 1.1124, while supports are located at 1.0918 - 1.0854 - 1.0815.

GBP / USD

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Players to increase successfully completed the initial phase, rising under the main significant resistance of this range 1.2305 - 1.2360 (upper border of the daily cloud + daily medium-term trend + weekly short-term trend) yesterday. If the pair is not able to stay in the zone of attraction of these levels today or during testing start the breakdown, the prospects of which will be the following resistance at 1.2460-1.2545, then players to decline can fight off the opponent's attack, returning bearish sentiment and many promising prospects to the market. The closest indicator of the success of the downside players will be the return to their side of the daily short-term trend (1.2218), strengthened by the weekly Fibo Kijun (1.2214).

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In the lower halves, we observe the development of correction. Currently, the pair is testing the first key support level at 1.2292 on the H1 (central Pivot level). The next reference for the decline is located today at 1.2231 (weekly long-term trend). In order to preserve the increase reached by players, it is advisable to limit themselves to these limits. The best option is to stay above the level of 1.2292. The resistances of the classic Pivot levels today are located at 1.2401 - 1.2472 - 1.2581.

Ichimoku Kinko Hyo (9.26.52), Pivot Points (classic), Moving Average (120)

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