EUR/USD is attempting a fresh increase from the 1.1220 support zone. EUR/JPY is rising, but it is facing hurdles near 128.30 and 128.50.
Important Takeaways for EUR/USD and EUR/JPY
· The Euro gained bearish momentum below 1.1350 and 1.1300.
· There was a break above a major bearish trend line with resistance near 1.1280 on the hourly chart.
· EUR/JPY is attempting a recovery wave above the 128.00 resistance level.
· There is a key bullish trend line forming with support near 127.85 on the hourly chart.
EUR/USD Technical Analysis
The Euro started a major decline after it struggled to clear the 1.1350 resistance against the US Dollar. The EUR/USD pair broke the 1.1300 support zone to move into a bearish zone.
The pair even traded below the 1.1250 support and settled below the 50 hourly simple moving average. A low was formed near 1.1227 on FXOpen and the pair is now correcting losses. There was a break above the 1.1260 level.
The pair even spiked above the 1.1285 resistance level. There was a clear move above a major bearish trend line with resistance near 1.1280 on the hourly chart.
It is now facing resistance near the 1.1300 zone and the 50 hourly simple moving average. It is close to the 50% Fib retracement level of the downward move from the 1.1357 swing high to 1.1227 low. The next major resistance is near the 1.1315 level.
It is close to the 61.8% Fib retracement level of the downward move from the 1.1357 swing high to 1.1227 low. The main resistance is forming near the 1.1320 and 1.1335 levels. A clear break above the 1.1335 resistance could push EUR/USD towards 1.1400.
On the downside, the 1.1250 level is a major support. Any more losses might lead EUR/USD towards the 1.1200 support zone in the near term. The next major support sits near the 1.1150 level.
EUR/JPY Technical Analysis
The Euro started a decent increase from the 127.40 zone against the Japanese Yen. The EUR/JPY pair climbed above the 127.80 and 128.00 resistance levels to move into a positive zone.
The pair traded as high as 128.46 before correcting gains. The recent low was formed near 127.60 and the pair is now rising. It broke the 50% Fib retracement level of the key decline from the 128.46 high to 127.60 low.
It is now trading above the 128.10 level and the 50 hourly simple moving average. An immediate resistance is near the 128.25 level. It is close to the 76.4% Fib retracement level of the key decline from the 128.46 high to 127.60 low.
If there is an upside break above the 128.25 resistance, the pair could start a decent recovery above 128.40. The next major resistance could be near the 128.80 level. Any more gains could lead the pair towards the 129.50 level.
On the downside, an initial support is near the 128.00 level. There is also a key bullish trend line forming with support near 127.85 on the hourly chart.
The first major support is near the 127.80 level. Any more losses could lead the pair towards the 127.00 support level in the near term.
This forecast represents FXOpen Markets Limited opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Markets Limited products and services or as financial advice.
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