EUR/USD Technical View

The pair moved lower on Tuesday, it broke under the 1.4200 support level and made a low at 1.4136, so far it doesn’t look like a reversal movement it appears to be just a retracement after reaching a new record high. So far today the pair is trading inside yesterday’s range and we will wait to see either if the US dollar gains some strength or if the bullish trend will resume. Looking for support and resistance zones it’s clear from the chart below that once back above 1.4200 the biggest resistance is the YTD high at 1.4300 and the most significant support area is the former YTD high at 1.3930 but that seems pretty far at this point and between the current price and that level we only have the 1.4060 level.

Resistance Levels

• 1.4300 YTD High
• 1.4200- round number

Support Levels

• 1.3930 – September 13th high
• 1.3850 – July 24th High
• 1.3680 – April 27th High
• 1.3550 – June 5th High

GbpUsd Technical View

Cable had a slow start in the week, trading between the 2.0365 support and the 2.0460 resistance, after it bounced a couple of times of the 2.0365 support it only just now moved lower pushed by fundamental news, we will have to wait a little bit and see if this move has enough momentum to continue or the pair is gone move back above the support level. Looking at the daily charts below we can see that the support and resistance levels are pretty clear, the 2.0365 is the main support level, and like we already said we have to wait and see if this level can be a base point for another push north, a push that will get us closer to the YTD high at 2.0650. If the 2.0365 area doesn’t hold the price above it we may witness another drop towards the 2.0200 level and a new period of consolidation between many support and resistance lines.

Resistance Levels

• 2.0650 – July 24th High
• 2.0460 – August 3rd High
• 2.0365 – September 12th High

Support Levels

• 2.0200 – Round number
• 2.0000 – Round number

• 1.9670 – May 21st low
• 1.9550 – previously tested support

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