EUR/USD

The current week is nearing its end. The bearish traders approached this situation in a positive way again. Now, the question will be decided whether they will be able to maintain what they have reached and close the week with the current bearish mood. A similar scenario failed last Friday. The current center of gravity is the monthly Fibo Kijun (1.1695). The pivot point to resume the decline can be designated the support of 1.1602 (previous minimum extremum).

In turn, the nearest resistance zone is formed by the levels of the daily cross 1.1736 - 1.1759 - 1.1787, while the final level of the daily cross (1.1816) is strengthened by the weekly short-term (1.1822).

The long-term lack of results for bears on the hourly time frame and being in the correction zone led to the fact that the analyzed technical indicators were tuned to a bullish wave. But to achieve a more significant result, the bulls need to break through the key supports of 1.1686 (central pivot level) and 1.1734 (weekly long-term trend) in the smaller time frames. The nearest resistance is set at 1.1707 (R1). If the bears manage to end the correction and further decline, we can consider the downward targets, namely the support levels of the classic pivot levels at 1.1657 - 1.1636 - 1.1607.

GBP/USD

The bears are clearly eager to update their results. Their target is now the low of the previous decline (1.3571). The breakdown of this level and consolidation below will allow us to consider new perspectives. Yesterday, the bearish traders left the monthly support of 1.3690 far behind in the daily timeframe. A consolidation below it in the weekly interval will raise the issue of breaking through the level after the monthly time frame.

It should be noted that gaining support for the monthly short-term trend (1.3690) will play a role in strengthening the bearish mood and advantages. In case of a pullback, the monthly Tenkan (1.3690) is likely to offer resistance and try to fight for bearish interests.

The advantage in the smaller time frames is currently on the bearish side. The downward trend is in an active phase. The support of the classic pivot levels 1.3588 - 1.3546 - 1.3461 serves as the intraday downward pivot points. Today, the key levels act as the resistances – 1.3673 (central pivot level) and 1.3764 (weekly long-term trend). A consolidation above which can affect the current balance of forces and change priorities not only on the H1 time frame, since at the same time, it will be possible to consider the failed breakout and the implementation of the rebound from the encountered monthly support of 1.3690 in the higher time frame.

***

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.