Yesterday both EURUSD and GBPUSD went down. Today the GBPUSD is falling even more and the EURUSD 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, during the early hours of the Asian trading session, the EURUSD managed to rise above 1.088. Then, the price started falling. It even dropped below 1.084 at the beginning of the American trading session. After that, the price started going up once again. In consequence, the EURUSD finished the day slightly below 1.085.
During the first hours of today’s Asian trading session, the price dropped below 1.083. Then, it started rising. If the buyers continue generating sufficient demand, the price might even go up above 1.087 and reach today’s R1 resistance level. But if the bears counterattack, the price could fall to today’s S1 support level.
The GBPUSD was even weaker yesterday. First, the price dropped below the EMA 77 and 1.241. Then, at the beginning of the American trading session, it started rising. In consequence, the price finished the day a little below the EMA 77 and 1.242.
Today, the GBPUSD is falling, though. It is already below 1.239. If the buyers don’t generate some serious appetite soon, the price could drop below 1.234 today. But if they do, the price might reach the EMA 77 and 1.241.