USDCHF is recovering and USDJPY is holding at 148.00

• Yesterday, we saw a new USDCHF pullback all the way to the 0.86848 level.
• On Wednesday, we saw the USDJPY decline to the 146.67 support level.

USDCHF chart analysis

Yesterday, we saw a new USDCHF pullback all the way to the 0.86848 level. We managed to get support in that zone, triggering a bullish consolidation at the si 0.87600 level.

During the Asian trading session, the pair moved in the 0.87200-0.87600 range. We are still in that zone, and the pair in the previous two hours is consolidating bullish. Now we expect to go up to the 0.87600 level and maybe see a break above and form a new today’s high.

Potential higher targets are 0.87800 and 0.88000 levels. We will have additional resistance in the zone around the 0.88000 level in the EMA50 moving average. For a bearish option, we need a negative consolidation and a drop below the 0.87200 lower level of this consolidation. After that, we look again at the previous low. Potential lower targets are 0.87000 and 0.86800 levels.

USDJPY chart analysis

On Wednesday, we saw the USDJPY decline to the 146.67 support level. We managed to hold above and start a bullish consolidation at 148.50 levels. In that zone, we encounter the EMA50 moving average, which does not allow us to climb above it for now. Today’s movement is taking place in the 147.50-148.50 range, and we need a break above the 148.50 level to start a longer-term bullish consolidation.

Potential higher targets are the 149.00 and 149.50 levels. For a bearish option, we should go below the 147.50 level. After that, we would see the formation of today’s new low, which could trigger a deeper pullback. Potential lower targets are 147.00 and 146.50 levels.