EUR/USD started a fresh decline below the 1.0765 support. USD/JPY rallied significantly above 140.00 and recently started a downside correction.
Important Takeaways for EUR/USD and USD/JPY Analysis Today
· The Euro is declining and showing bearish signs below the 1.0745 resistance zone.
· There is a key bearish trend line forming with resistance near 1.0715 on the hourly chart of EUR/USD at FXOpen.
· USD/JPY started a major rally above the 138.88 and 140.00 levels.
· There is a major bullish trend line forming with support near 139.65 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 1.0790 resistance. The Euro declined below the 1.0745 support zone against the US Dollar.
It settled below the 50-hour simple moving average and spiked below 1.0690. A low was formed near 1.0672 before there was a minor recovery. The pair climbed above 1.0715 but the bears were active near the 1.0745 resistance.
A high is formed near 1.0746 and the pair is again moving lower. There was a move below the 50% Fib retracement level of the upward move from the 1.0672 low to the 1.0746 high.
The RSI is dipping and EUR/USD is approaching the 76.4% Fib retracement level of the upward move from the 1.0672 low to the 1.0746 high at 1.0690. The first major support is near the 1.0670 level, below which the pair could start a major decline. In the stated case, the pair might dive toward the 1.0620 support zone.
On the EUR/USD chart, the pair is now facing resistance near a key bearish trend line at 1.0715. The next major resistance is near the 1.0745 level. An upside break above 1.0745 could set the pace for another increase. In the stated case, the pair might visit 1.0790.
USD/JPY Technical Analysis
On the hourly chart of USD/JPY at FXOpen, the pair started a fresh increase from the 138.88 zone. It gained bullish momentum and was able to clear the 140.00 resistance.
Finally, there was a move above 140.50 and the pair spiked toward 141.00. A high was formed near 140.90 before the pair corrected lower. There was a drop below the 50-hour simple moving average at 140.20.
However, the bulls are active near a major bullish trend line at 139.65. A low is formed near 139.57 and the pair is now consolidating.
On the upside, the pair is facing resistance near the 23.6% Fib retracement level of the recent decline from the 140.93 swing high to the 139.57 low. The first major resistance is near the 50-hour simple moving average at 140.20. It is close to the 50% Fib retracement level of the recent decline from the 140.93 swing high to the 139.57 low.
If there is a close above the 140.20 level and RSI moves above 50, the pair could revisit 140.90. The next major resistance is near 141.20, above which the pair could test 142.00.
Conversely, the pair might break the trend line support. The next major support is near the 138.88 level, below which the pair could start a major decline. In the stated case, the pair might dive toward the 138.00 support.
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