Market Analysis: EUR/USD Nosedives While USD/JPY Surged Further

FXOpen

EUR/USD started a fresh decline from 1.0940. USD/JPY is rising and might climb further toward the 148.80 resistance zone.

Important Takeaways for EUR/USD and USD/JPY Analysis Today

· The Euro started a fresh decline below the 1.0860 support zone.

· There is a key bearish trend line forming with resistance near 1.0760 on the hourly chart of EUR/USD at FXOpen.

· USD/JPY climbed higher above the 146.10 and 147.00 levels.

· There is a connecting bullish trend line forming with support near 147.20 on the hourly chart at FXOpen.

EUR/USD Technical Analysis

On the hourly chart of EUR/USD at FXOpen, the pair started a fresh decline from the 1.0940 zone. The Euro declined below the 1.0860 support zone against the US Dollar.

The pair even settled below the 1.0805 zone and the 50-hour simple moving average. A low is formed near 1.0707 and the pair is now consolidating losses near the 23.6% Fib retracement level of the recent decline from the 1.0808 swing high to the 1.0707 low.

On the upside, the pair is now facing resistance near the 50-hour simple moving average at 1.0760 and a key bearish trend line. It is close to the 50% Fib retracement level of the recent decline from the 1.0808 swing high to the 1.0707 low.

The next major resistance is near 1.0805. The main resistance is now near 1.0860. An upside break above 1.0860 could set the pace for another increase. In the stated case, the pair might rise toward 1.0940.

If not, the pair might resume its decline. The first major support on the EUR/USD chart is near 1.0705. The next key support is at 1.0680. If there is a downside break below 1.0680, the pair could drop toward 1.0635. The next support is near 1.0620, below which the pair could start a major decline.

USD/JPY Technical Analysis

On the hourly chart of USD/JPY at FXOpen, the pair started a decent increase from the 144.70 zone. The US Dollar gained bullish momentum above 146.10 against the Japanese Yen.

It settled above the 50-hour simple moving average and 147.00. A high is formed near 147.80 and the pair is now correcting gains. On the downside, the first major support is near the trend line at 147.20.

The next major support is near the 23.6% Fib retracement level of the upward move from the 144.44 swing low to the 147.81 high at 147.00 and the 50-hour simple moving average. If there is a close below 147.00, the pair could decline steadily.

In the stated case, the pair might drop toward the 50% Fib retracement level of the upward move from the 144.44 swing low to the 147.81 high at 146.10. The next stop for the bears may perhaps be near the 144.70 region.

Immediate resistance on the USD/JPY chart is near 147.80. The first major resistance is near 148.00. If there is a close above the 148.00 level and the RSI moves above 60, the pair could rise toward 148.80. The next major resistance is near 149.20, above which the pair could test 150.00 in the coming days.

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This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

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