EURUSD and GBPUSD: GBPUSD on a bullish path above 1.25000

• On Thursday, EURUSD rose to 1.07402 levels, a new weekly high. 
• This week’s high GBPUSD was formed yesterday at the 1.25268 level. 

EURUSD chart analysis

On Thursday, EURUSD rose to 1.07402 levels, a new weekly high. With the start of the US session, the dollar strengthened sharply, and the pair retreated to 1.06800 and the EMA200 moving average. We quickly find support at that level and initiate a bullish consolidation, returning above the 1.07200 level.

During this morning’s Asian trading session, the pair moved in the 1.07200-1.07300 range. In the EU session, we see the strengthening of the euro, and the pair makes a bullish impulse up to 1.07350.

We expect to see a continuation of this consolidation and climb to a new high. Potential higher targets are 1.07500 and 1.07600 levels. We need a negative consolidation and pullback below the 1.07200 level for a bearish option. With that, we are going to a new daily low, which would indicate a weakening of the euro. Potential lower targets are 1.07100 and 1.07000 levels.

GBPUSD chart analysis

This week’s high GBPUSD was formed yesterday at the 1.25268 level. After that we see a pullback to support at the 1.24600 level. We meet the EMA200 moving average and get its support there, pushing us up to the 1.25200 level again. During this morning’s Asian session, we managed to hold above 1.25000, which we could interpret positively and hope for further growth on the bullish side.

Potential higher targets are 1.25400 and 1.25500 levels. We need a negative consolidation and a drop below the 1.25000 level for a bearish option. Dropping to 1.24800 will test the EMA50 moving average support first. If the support does not hold, we will continue lower to 1.24600 and the EMA200 moving average. That level could be a turning point for the longer-term GBPUSD trend.