Yesterday both EURUSD and GBPUSD rose strongly once again. Today both currency pairs are going down, though. What can they do next? Let’s try to answer that question in an analysis:
Yesterday was another phenomenal bullish session. After rising strongly all day, the EURUSD finished the session at the R2 resistance level, slightly above 1.122. During today’s Asian trading session, the price went up above 1.24. Then, in the morning, it started falling. The price is already below 1.121. If the buyers don’t generate some serious appetite soon, the price could drop below the Pivot Point and 1.118. But if they do, the price might return above 1.124.
The GBPUSD also showed some real strength yesterday. After rising significantly for several hours, the price finished the session slightly above 1.313. During today’s Asian trading session, it went up above 1.314. Then, in the morning, the price started falling. Right now the bulls are trying to defend 1.31. If they do it successfully, the price might bounce and return above 1.314. But if they fail, the price could drop below 1.308 and reach the EMA 77.