Yesterday both EURUSD and GBPUSD rose strongly. Today the EURUSD is showing mixed sentiment, but the GBPUSD is going down. What can they do next? Let’s try to answer that question in an analysis:
Yesterday was a really strong, bullish session. After rising strongly all day, the EURUSD finished the session above the R1 resistance level and the EMA 200, slightly below 1.056. During today’s Asian trading session, the price dropped below 1.054. Then, at the beginning of the European trading session, it started rising. Right now the bulls are attacking the EMA 200. If they do it successfully, the price might reach 1.057 today. But if they fail, the price could drop to 1.053.
The GBPUSD also was really strong yesterday. First, the price managed to rise above 1.221. Then, in the evening, it fell a bit. In consequence, the price finished the session slightly above 1.22.
During today’s Asian trading session, the GBPUSD dropped below 1.217. Then, it started rising. If the buyers continue generating sufficient demand, the price might return above the EMA 77 and 1.221. But if the bears counterattack, the price could drop below 1.215.