EURUSD and GBPUSD: The Euro manages to recover a bit

• At the end of yesterday, EURUSD retreated to 1.03300 levels. 
• During the Asian session, GBPUSD managed to move up to 1.20600 levels. 

EURUSD chart analysis

At the end of yesterday, EURUSD retreated to 1.03300 levels. During the Asian session, the euro manages to consolidate, and we form a new bottom. After that, we see a bullish consolidation and a move above the 1.03500 level, and we are now very close to testing the 1.04000 level. To continue to the bullish side, we need a break above and try to hold up there.

With the next bullish consolidation, we could see further EURUSD recovery. Potential higher targets are 1.04500 and 1.05000 levels. For a bearish option, we need a negative consolidation and pullback below this morning’s support level. A break below would signify a further weakening of the euro: Potential lower targets are 1.03000 and 1.02500 levels.

GBPUSD chart analysis

During the Asian session, GBPUSD managed to move up to 1.20600 levels. The pound did not hold for long, and we see a pullback to the 1.20000 level. The chart again shows an increase in bearish pressure. For a bearish option, we need a negative consolidation and pullback below yesterday’s low at 1.19350.

A break below could lead to a further pullback and descent to lower support levels. Potential lower targets are 1.19000 and 1.18000 levels. For a bullish option, we need a new positive consolidation and a return above the 1.20000 level. Then we need to hold on up there and continue the recovery with a new bullish impulse. Potential higher targets are 1.21000 and 1.22000 levels.