EUR/USD
The pair managed to update last week's low and is likely to break through the found support levels of 1.1762 and 1.1766 (target for the breakdown of the daily cloud + monthly short-term trend) and continue to move down. In this area, the next downward targets are 1.1695 (monthly Fibo Kijun) and 1.1611-1.1591 (upper limits of monthly and weekly clouds). Today, the resistance levels maintained its positions and can be noted at 1.1821 (first target of the daily target for the breakdown of the cloud) and 1.1865-86 (daily Tenkan + weekly Fibo Kijun).
Bearish traders are in favor in the smaller time frames. They marked a new low and continue to decline. Currently, the support of 1.1740 (S2) is being tested. This is followed by the next support of 1.1719 (S3), as well as other levels of 1.1695 - 1.1611-1.1591 in the higher time frames. The key resistance levels in the smaller time frames are set at 1.1773 (central pivot level) and 1.1805 (weekly long-term trend). If the upward correction develops from these levels, and a breakdown and consolidation above it occurs, the current balance of forces will change.
GBP/USD
The resistances of the daily short-term trend (1.3835) and the upper border of the daily cloud (1.3830) were tested yesterday, which led to the formation of rebound. Once this is confirmed and implemented, the pair will return to test the support of the weekly Fibo Kijun (1.3707), whose breakdown will allow the bears to break the border of the daily cloud located at 1.3609, with the aim of leaving it.
In turn, the lack of confirmation of the rebound is likely to leave the pair in the daily cloud for a long time, as other resistances of the daily and weekly timeframes will be added to the resistance of the upper border of the cloud.
On the H1 chart, the analyzed technical instruments have divided opinions. The technical indicators have already adjusted to support bearish players, but at the same time, the weekly long-term trend (1.3749) continues to decline, maintaining support for bulls. If the advantage returns to the bulls, the central pivot level (1.3787) will allow us to consider recovering bullish positions. The intraday pivot points are the classic pivot levels (1.3818 - 1.3878 - 1.3909). In the event that the weekly long-term trend support (1.3749) is broken, the path will open towards further decline. We can note the supports of the classic pivot levels at 1.3727 - 1.3696 - 1.3636.
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Ichimoku Kinko Hyo (9.26.52) and Kijun-sen levels in the higher time frames, as well as classic Pivot Points and Moving Average (120) on the H1 chart are used in the technical analysis of the trading instruments.
