EUR/USD Technical View

Euro printed a new high yesterday just a few points below the 1.4200 round number. It was a somewhat agitated trading session, the pair started to slip lower after it nearly touched the resistance level but at the end of the day it managed to form a green candlestick on the daily charts; so far today we haven’t seen much movement only a few points to the north side, perhaps we’re gone see some more action in the later part of the session. First target is still the 1.4200 number, and if the pair manages to clear that we need to look higher for future resistance areas. On the short side a possible rejection of the 1.4200 level will push the pair lower towards the 1.4060 support level, and if the US dollar manages to gather some strength we might even see a move closing in on 1.3930 and 1.3850 as both are very strong support areas and significant bearish targets.

Resistance Levels

• 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 moved higher on Thursday almost touching the 2.0300 level but it retraced in the overnight trading hours and it retested the 2.0200 level now turned into support; this move might be the signal the market looked for to shift the bias to the long side. Breaking above 2.0300 today or at the start of next week will bring us closer to the 2.0365 resistance level and intermediary bullish target before the 2.0460 early August double top. Conversely a failure to break above 2.0300 will start putting more pressure on the pair and we will remain in this range area until something happens and the overall market bias changes to either long or short, if it will be the latter the pair might once again retest the 2.0200 and if that level fails we will see a move towards the 2.0100 mid range level and if it manages to break even lower one could expect the move to continue at least to the 2.0000 round number if not lower towards the 1.9900 area which is last weeks low and also a strong support zone.

Resistance Levels

• 2.0650 – July 24th High
• 2.0460 – August 3rd High
• 2.0365 – September 12th High
• 2.0200 – Round number

Support Levels

• 2.0000 – Round number
• 1.9670 – May 21st low
• 1.9550 – previously tested support

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