Yesterday,the GBPUSD once again dropped significantly. The price finished the day below 1.375. On the other hand, the EURUSD showed mixed sentiment. Today, both currency pairs are rising, though. From the data front, the markets will be focused on the ECB report on the weekly asset purchases under the PEPP program. Anyway, let’s start the analysis:
The EURUSD showed mixed sentiment yesterday. First the price rose above the R1 resistance level and 1.19, but in the afternoon it dropped. However, the price is rising once again today. If the buyers continue generating sufficient demand, the price might go up above the R1 and 1.19 one more time. But if the bears counterattack, the price could fall to the S1 support level.
The GBPUSD dropped heavily yesterday. The price finished the day below 1.374. During today’s Asian trading session it rose strongly, but after testing the EMA 77 this morning, the price started falling once again. If the bulls don’t generate some serious appetite once more time soon, the price could drop to 1.37. But if they do, the price might rise above the EMA 77.