Yesterday both EURUSD and GBPUSD dropped significantly. Today the EURUSD is rising and the GBPUSD is showing mixed sentiment. What can they do next? Let’s try to answer that question in an analysis:
Yesterday was a really interesting session. First, the EURUSD dropped below the S3 support level and 1.071. Then, in the afternoon, the price started rising. 90 minutes later, it went up above 1.073. After that, in the early evening, the price started falling a bit. In consequence, the EURUSD finished the session slightly above the S3 and 1.072.
Today, the price is rising, though. If the buyers continue generating sufficient demand, the price might go up above the Pivot Point and even reach 1.077. But if the bears counterattack, the price could drop to 1.07 today.
The GBPUSD also was really volatile yesterday. First, during the Asian trading session, the price dropped below 1.253. Then, in the morning, it started rising. The price even went up above 1.258 in the late afternoon. After that, it started falling a bit. In consequence, the GBPUSD finished the session slightly below 1.257.
During the first hours of today’s Asian trading session, the price dropped below 1.255. Then, it started rising. The price even went up above 1.258 and the EMA 77 in the morning. After that, it started falling once again. If the buyers don’t generate some serious appetite soon, the price could drop below 1.254 today. But if they do, the price might return above the EMA 77.