Market Analysis: EUR/USD Gains Pace While USD/JPY Turns Red
EUR/USD started a decent upward move above the 1.0460 resistance. USD/JPY declined below 153.00 and is currently consolidating losses.
Important Takeaways for EUR/USD and USD/JPY Analysis Today
· The Euro found support and started a recovery wave above the 1.0400 resistance zone.
· There is a connecting bearish trend line forming with resistance at 1.0460 on the hourly chart of EUR/USD at FXOpen.
· USD/JPY is trading in a bearish zone below the 153.00 and 152.50 levels.
· There is a short-term rising channel forming with support near 151.60 on the hourly chart at FXOpen.
EUR/USD Technical Analysis
On the hourly chart of EUR/USD at FXOpen, the pair started a fresh increase from the 1.0290 zone. The Euro climbed above the 1.0400 resistance zone against the US Dollar.
The pair even settled above the 1.0450 resistance and the 50-hour simple moving average. Finally, it tested the 1.0515 resistance. A high is formed near 1.0514 and the pair is now consolidating gains. There was a minor decline below the 23.6% Fib retracement level of the upward move from the 1.0292 swing low to the 1.0514 high.
Immediate support is near the 1.0445 level. The next major support is at 1.0400 and the 50% Fib retracement level of the upward move from the 1.0292 swing low to the 1.0514 high.
If there is a downside break below 1.0400, the pair could drop toward the 1.0375 support. The main support on the EUR/USD chart is near 1.0290, below which the pair could start a major decline.
On the upside, the pair is now facing resistance near 1.0460. There is also a connecting bearish trend line forming with resistance at 1.0460. The next major resistance is near the 1.0515 level. An upside break above 1.0515 could set the pace for another increase. In the stated case, the pair might rise toward 1.0550.
USD/JPY Technical Analysis
On the hourly chart of USD/JPY at FXOpen, the pair started a steady decline from well above the 154.00 zone. The US Dollar gained bearish momentum below the 153.00 support against the Japanese Yen.
The pair even settled below the 152.50 level and the 50-hour simple moving average. There was a spike below 151.50 and the pair traded as low as 151.23. It is now correcting losses and trading above the 50-hour simple moving average.
Immediate resistance on the USD/JPY chart is near the 23.6% Fib retracement level of the recent decline from the 154.80 swing high to the 151.23 low at 152.05.
The first major resistance is near the 153.00 zone and the 50% Fib retracement level of the recent decline from the 154.80 swing high to the 151.23 low. If there is a close above the 153.00 level and the hourly RSI moves above 60, the pair could rise toward 153.95.
The next major resistance is near 154.80, above which the pair could test 155.50 in the coming days. On the downside, the first major support is near 151.60. There is also a short-term rising channel forming with support near 151.60.
The next major support is near the 151.20 level. If there is a close below 151.20, the pair could decline steadily. In the stated case, the pair might drop toward the 150.00 support.
Read more: https://fxopen.com/blog/en/aj-market-analysis-eur-usd-gains-pace-while-usd-jpy-turns-red/
Text source: Forex Trading Blog
