EURUSD and GBPUSD: EURUSD stills slides below 1.08500

• During the Asian session, EURUSD moved in the zone around 1.08400 levels.
• During the Asian trading session, GBPUSD was in a slight bullish consolidation from 1.26900 to 1.27200 levels.

EURUSD chart analysis

During the Asian session, EURUSD moved in the zone around 1.08400 levels. At the beginning of the EU session, the euro breaks below and retreats to the 1.08350 level. We see pressure on the euro at the beginning of the week. Pai could easily slip to the previous low from Friday at the 1.08129 level. New pressure in that zone would have a negative effect on EURUSD, and we could expect to see the formation of a new low. Potential lower targets are 1.08000 and 1.07800 levels.

The pair EURUSD would have to climb to the 1.08500 level for a bullish option. After that, it is desirable to maintain it there in order to determine the initial position for further recovery. Potential higher targets are 1.08600 and 1.08800 levels. In the zone around the 1.08800 level, the pair encounters the EMA200 moving average, and there, we could expect the next fluctuation before continuing to the bullish side.

GBPUSD chart analysis

During the Asian trading session, GBPUSD was in a slight bullish consolidation from 1.26900 to 1.27200 levels. After that, we are looking at a pullback to the 1.27000 level. Here we are now testing the EMA200 which is neutral and moving sideways. We need a new positive consolidation and a break above the 1.27200 level to continue on the bullish side. A move above would mean the pound has the strength to trigger a bigger recovery this week.

Potential higher targets are 1.27300 and 1.27400 levels. For a bearish option, we need a negative consolidation and pullback below the 1.26900 support level this morning. There, we would be under pressure to go further down and search for support at lower levels. Potential lower targets are 1.26800 and 1.26600 levels.