Yesterday both EURUSD and GBPUSD dropped significantly. Today both currency pairs are showing mixed sentiment. From the data front, the GDP in Q1 in the US will be published. Anyway, let’s move on to the analysis:
Yesterday was a really interesting session. First, during the Asian trading session, the EURUSD dropped below 1.094. Then, at the beginning of the European trading session, the price started rising. It even went up above 1.096 at noon. After that, the price started falling heavily, though. It even dropped below 1.09 in the afternoon. Then, it managed to go up once again. The price even rose above the S1 support level and 1.092 in the evening. However, during the last three hours of yesterday’s session, it fell one more time. In consequence, the EURUSD finished the day a little below the S1, slightly above 1.091.
During today’s Asian trading session, the price dropped below today’s S1 and 1.088. Then, in the morning, it started rising strongly. If the buyers continue generating firm demand, the price might even reach 1.094 today. But if the bears counterattack, the price could return below 1.09.
The GBPUSD showed some real weakness yesterday. First, the price dropped below 1.261. Then, in the afternoon, it started rising. The price even went up above 1.265 in the early evening. However, during the last four hours of yesterday’s session, it fell once again. In consequence, the GBPUSD finished the day slightly below 1.264.
During today;s Asian trading session, the price dropped below 1.262. Then, in the morning, it started rising. If the buyers continue generating firm demand, the price might even reach the EMA 77. But if the bears counterattack, the price could fall below 1.261.