EURUSD: Bearish Eyes The 1.2185 Levels!
The EURUSD maintained a bearish momentum yesterday, topped at the 1.2354 levels and bottomed at the 1.2339 levels. This development leaves the pair targeting the 1.2185 levels. A halt is likely and it may turn higher from here, but a cut through the 12185 levels will aim the 1.2088 levels, further down, support comes at the 1.2030 levels.
On the upside, resistance comes at the 1.2272 levels ahead of the 1.2354 levels (main). A daily closing above 1.2354 and the declining trendline will reverse risk to the upside to the 1.2420 levels where a break will create a scope for 1.2522 levels.
As shown on the daily chart posted below, the pair has risen to the 1.4086 levels with a low momentum, and formed an inside bar pattern, support comes at the 1.3982 levels while resistance comes at the 1.4066 levels.
We have 2 scenarios:
- A daily closing above 1.4066 will suggest that the bullish trend is resuming and pave the way to the 1.4150/1.4277 levels.
- A daily closing below 1.3982 will open the main support at the 1.3874 levels where buying is recommended around here.
Anyway, momentum indicators suggest a possible test to the 1.4070 levels before falling once again, support comes at the 1.3982 levels ahead of the 1.3874 levels (main), below 1.3874 should weaken recent rise and open the way to the 1.3755 levels.
Conclusion: The GBPUSD sees consolidation within 1.3982/1.4066 range before the next move.
As long as 107.05 resistance holds on a daily closing basis, the USDJPY remains neutral with risk to the downside, support comes at the 105.45 levels, a halt is likely but a cut would open 104.28, further down, support comes at the 102.85 levels.
On the upside, resistance comes at the 107.05 levels (main). A daily closing above 107.05 will aim the 107.80 levels. A break will turn outlook bullish and pave the way to the 108.77/110.20 levels.
Conclusion: The USDJPY continues to consolidate with a downside risk below the 107.05 levels.
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