EURUSD and GBPUSD: The Euro Broke Support at the 0.98000

• During the Asian trading session, the euro broke the support at the 0.98000 level and continued its decline.
• During the open trading session, the pound weakened against the dollar.

EURUSD chart analysis

During the Asian trading session, the euro broke the support at the 0.98000 level and continued its decline. The bearish impulse was strong, so the euro quickly fell below the 0.97500 level. The euro continues to fall below that level and is now at the 0.97370 level. Since the start of trading last night, the euro has lost 0.85% of its value against the US dollar. For a bearish option, we need a continuation of the negative consolidation and a further decline to the 0.97000 level.

This would confirm the previous low of October 21. Potential lower targets are 0.96500 and 0.96000 levels. We need a new positive consolidation and a euro return to the 0.98000 level for a bullish option. Then we need to hold on there and trigger a new bullish impulse. And potential higher targets are 0.98500 and 0.99000 levels.

GBPUSD chart analysis

During the open trading session, the pound weakened against the dollar. In the European session, the decline continued to the 1.12500 level. Since the start of trading last night, the pound has lost 1.12% of its value against the US dollar. The decline has stopped at the lower support line, and now we can expect potential support and a calming of the market here.

For a bullish option, we need a new positive consolidation and a minimum return above the 1.13000 level. With that, we would form a new higher low from which we should see a new bullish impulse and recovery of the pound. Potential higher targets are 1.14000 and 1.15000 levels. We need a negative consolidation and break below the trend line and 1.12000 support level for a bearish option. Then we need to stay down there and, with a new bearish impulse, continue to fall to lower levels. Potential lower targets are 1.11000 and 1.10000 levels.