Yesterday, the EURUSD rose strongly once again. The price finished the day at the R2 resistance level. On the other hand, the GBPUSD dropped deeply. Today the GBPUSD is still falling and the EURUSD is showing mixed sentiment. From the data front, all eyes will be focused on the Fed Minutes from the last policy meeting. It is believed that the US Central Bank discounts the rise of Treasury market yields, which may fuel further bonds sell-off. Anyway, let’s start the analysis:
The EURUSD showed its strength once again yesterday. The price rose strongly and finished the day at the R2 resistance level. Today the price is showing mixed sentiment though, and the volatility is rather low. If the buyers take control over the market one more time, the price might rise above 1.19 today. But if the bears finally attack, the price could drop to the Pivot Point.
On the other hand, the pound sterling showed serious weakness yesterday. The GBPUSD dropped heavily and finished the session slightly above 1.382. Today it is falling even more. It went down below 1.38, but when the European trading session started, it managed to bounce. Now if the buyers continue generating firm demand, the price might reach the EMA 77. But if the bears take control over the market once again, the price could return below 1.38.