Yesterday, the EURUSD showed mixed sentiment, but the volatility was really high. First, the price rose above the R2 resistance level, then it dropped and finished the session below the R1. On the other hand, the GBPUSD dropped heavily and finished the day at 1.40. Today, both Forex pairs are going down. What can they do next? Let’s try to answer that question in an analysis:
Yesterday’s session was really interesting. First, the EURUSD went up above the R2 resistance level. Then it dropped and finished the session significantly below the R1. Today, the price is falling even more. It has already tested the S1 support level twice. Right now the price is below the EMA 200. If the bulls don’t generate some serious appetite soon, the price could drop to 1.21. But if they do, the price might rise to the Pivot Point.
The GBPUSD dropped heavily yesterday. The price finished the day at 1.40. Today it is falling even more. It has already tested 1.39 and bounced from there in the morning. If the buyers continue generating sufficient demand, the price might return above 1.40 pretty soon. But if they aren’t strong enough to do that, the price could drop below 1.39.