EUR/USD declined from the 1.1750 resistance and traded below 1.1650. USD/JPY is rising and might gain pace above the 149.20 resistance.
Important Takeaways for EUR/USD and USD/JPY Analysis Today
- The Euro started a fresh decline after a strong surge above the 1.1720
EUR/USD declined from the 1.1750 resistance and traded below 1.1650. USD/JPY is rising and might gain pace above the 149.20 resistance.
Important Takeaways for EUR/USD and USD/JPY Analysis Today
- The Euro started a fresh decline after a strong surge above the 1.1720 zone.
- There is a connecting bearish trend line forming with resistance at 1.1660 on the hourly chart of EUR/USD at FXOpen.
- USD/JPY climbed higher above the 147.50 and 148.40 levels.
- There is a key bullish trend line forming with support at 148.40 on the hourly chart at FXOpen.
EUR/USD Technical Analysis
On the hourly chart of EUR/USD at FXOpen, the pair rallied above the 1.1720 resistance zone before the bears appeared, as discussed in the previous analysis. The Euro started a fresh decline and traded below the 1.1660 support zone against the US Dollar.
The pair declined below 1.1620 and tested 1.1590. A low was formed near 1.1592 and the pair started a consolidation phase. There was a minor recovery wave above the 1.1610 level.
EUR/USD is now trading below the 50-hour simple moving average. On the upside, it is now facing resistance near the 1.1630 level. It is close to the 23.6% Fib retracement level of the downward move from the 1.1749 swing high to the 1.1592 low.
The next key resistance is at 1.1660 and the 50% Fib retracement level. There is also a connecting bearish trend line forming with resistance at 1.1660.
The main resistance is near the 1.1690 level. A clear move above it could send the pair toward the 1.1720 resistance. An upside break above 1.1720 could set the pace for another increase. In the stated case, the pair might rise toward 1.1750.
If not, the pair might resume its decline. The first major support on the EUR/USD chart is near 1.1590. The next key support is at 1.1550. If there is a downside break below 1.1550, the pair could drop toward 1.1520. The next support is near 1.1485, below which the pair could start a major decline.
USD/JPY Technical Analysis
On the hourly chart of USD/JPY at FXOpen, the pair started a fresh upward move from the 145.75 zone. The US Dollar gained bullish momentum above 146.55 against the Japanese Yen.
It even cleared the 50-hour simple moving average and 148.00. The pair climbed above 149.00 and traded as high as 149.18. The pair is now consolidating gains above the 23.6% Fib retracement level of the upward move from the 145.74 swing low to the 149.18 high.
The current price action above the 148.50 level is positive. There is also a key bullish trend line forming with support at 148.40. Immediate resistance on the USD/JPY chart is near 149.20.
The first major resistance is near 149.50. If there is a close above the 149.50 level and the RSI moves above 70, the pair could rise toward 150.50. The next major resistance is near 152.00, above which the pair could test 155.00 in the coming days.
On the downside, the first major support is 148.40 and the trend line. The next major support is visible near the 147.90 level. If there is a close below 147.90, the pair could decline steadily.
In the stated case, the pair might drop toward the 147.50 support zone and the 50% Fib retracement level of the upward move from the 145.74 swing low to the 149.18 high. The next stop for the bears may perhaps be near the 146.55 region.
Published by:
Thomas Wallace