EURUSD and GBPUSD: EURUSD retreated to 1.07882 yesterday

• EURUSD retreated to 1.07882 levels on Thursday, forming a new weekly low.
• The new weekly GBPUSD low was formed yesterday at the 1.26800 level.

EURUSD chart analysis

EURUSD retreated to 1.07882 levels on Thursday, forming a new weekly low. After that, we see a successful consolidation and the initiation of a bullish consolidation. The pair recovers and climbs to the 1.08455 level, where it encounters a new resistance. During this morning’s Asian trading session, we saw a pullback to the 1.08100 support zone. With the start of the EU session, the euro has stabilized and is slowly climbing up to 1.08250.

We expect a test of the 1.08400 zone soon. By moving above, we get the support of the EMA200 moving average, and EURUSD could start a bullish consolidation. Potential higher targets are 1.08500 and 1.08600 levels. We need a negative consolidation and a drop below this morning’s support level for a bearish option. Going below, we will form a new lower low and thus confirm the bearish momentum.

GBPUSD chart analysis

The new weekly GBPUSD low was formed yesterday at the 1.26800 level. After that we saw a recovery to the 1.27500 level, where the new resistance is. The inability of the pound to continue on the bullish side triggers a bearish consolidation that is still current. During this morning’s Asian session, the pair slipped below the EMA50 and EMA200 moving averages, worsening its position on the chart.

Potential lower targets are 1.27000 and 1.26900 levels. We need a new positive consolidation and a return above the EMA200 and 1.27200 levels for a bullish option. This gives us the support of the moving average and we expect a recovery to the bullish side. Potential higher targets are 1.27400 and 1.27500 levels.

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