EURUSD and GBPUSD: The euro remains stable above 1.05000
- Even today, EURUSD manages to stay above the 1.05000 level.
- During the Asian trading session, GPUSD moved in the range of 1.22500-1.23000.
EURUSD chart analysis
Even today, EURUSD manages to stay above the 1.05000 level. All eyes are on the US CPI, which will be published an hour before the opening of the US market. This report will depend on the FED’s future actions regarding the level of interest rates. Today’s resistance is at the 1.05500 level, and we need a break above to continue the recovery. If we were to succeed in climbing above, it is also necessary to try to stay up there. With the next bullish consolidation, we could see a continuation of the EURUSD recovery. Potential higher targets are 1.06000 and 1.06500 levels. We need a break below the 1.05000 support level for a bearish option. A drop below could trigger a deeper withdrawal of the euro, while we would look for greater support already at the 1.045000 level. Potential lower targets if the euro falls further are 1.04000 and 1.03500 levels.
GBPUSD chart analysis
During the Asian trading session, GPUSD moved in the range of 1.22500-1.23000. Pressure is slowly building on the upper resistance line, and we could soon see a break above with the first of the next bullish swing. The first target is the previous high at the 1.23500 level from December 5. a break above could take us up to the 1.24000 level, and we would form a new six-month high. For a bearish option, we need a negative consolidation and a pullback of the pound to the 1.22000 level. A longer hold at that level could lead to a drop below to the next support at the 1.21000 level. The pound’s inability to find support there would lead to further declines. Potential lower targets are 1.20500 and 1.20000 levels.
