EUR/USD
Bullish traders continue to rise. If the current week's closing is positive, it will confirm the implementation of the trend continuation signal. A reliable consolidation and retention of positions above the historical level of 1.2170 will allow us to consider new prospects. In the higher time frame, the nearest highest extremum of the month, which is the level of 1.2555, will be considered as an upward pivot point.
The pair in the smaller time frame is currently in the correction zone. The development of a downward correction is already ready to support technical indicators, but the bulls' interests in the current conditions continue to defend the key supports, which are now located at 1.2243 (central pivot level of the day) and 1.2177 (weekly long-term trend). The nearest support is located at 1.2214 (S1).
Now, the higher time frame strengthened the support for the weekly long-term trend, so a consolidation below will change the current balance of power not only on the hourly time frame. On the other hand, exiting from the correction zone and continuing the upward movement will open the way to the resistances of the classic pivot levels 1.2297 (R1) - 1.2326 (R2) - 1.2380 (R3).
GBP/USD
The bulls developed the target for the breakdown of the four-hour cloud (1.3627), then took a break. This week's result of closing will be important. Here, too long shadow of the weekly candle can be a signal of a long stop and the beginning of a new huge correctional decline. In the current conditions, it is important for bulls to maintain their position above 1.3481 - 1.3538. In this case, they will have a better chance of closing December in the monthly cloud with a recovered upward trend.
The support of the central pivot level (1.3567) was lost and the technical indicators are set to strengthen bearish mood, with the development of the correction in the hourly time frame. The nearest support is currently located at 1.3509 (S1), so the bears' interest will be directed to the weekly long-term trend (1.3426). Their main task will be to restore the trend (1.3624) in case that the level of 1.3567 returns to the bulls' side.
Ichimoku Kinko Hyo (9.26.52), Pivot Points (classical), Moving Average (120)
