EUR/USD started a decent recovery wave above the 0.9900 resistance zone. USD/JPY is rising and might soon clear the key 145.00 resistance zone.
Important Takeaways for EUR/USD and USD/JPY
· The Euro formed a base and started a decent recovery wave above the 0.9800 zone.
· There is a major bullish trend line forming with support near 0.9910 on the hourly chart of EUR/USD.
· USD/JPY declined sharply before it found support near the 143.50 level.
· There was a break below a key bullish trend line with support near 144.55 on the hourly chart.
EUR/USD Technical Analysis
This past week, the Euro found support near the 0.9550 zone against the US Dollar. The EUR/USD pair started a steady recovery wave above the 0.9600 and 0.9680 resistance levels.
There was a steady increase above the 0.9800 resistance zone and the 50 hourly simple moving average. The pair even climbed above the 0.9900 resistance zone. A high was formed near 0.9998 on FXOpen and the pair is now correcting lower.
An initial support on the downside is near the 0.9940 level. It is near the 23.6% Fib retracement level of the upward move from the 0.9754 swing low to 0.9998 high.
The first major support is near the 0.9920 level. There is also a major bullish trend line forming with support near 0.9910 on the hourly chart of EUR/USD. The main support sits near the 0.9880 zone. It is near the 50% Fib retracement level of the upward move from the 0.9754 swing low to 0.9998 high.
An immediate resistance on the upside is near the 1.0000 level. The next major resistance is near the 1.0050 level. An upside break above 1.0050 could set the pace for another increase. In the stated case, the pair might revisit 1.0150. Any more gains might send the pair towards 1.0200.
USD/JPY Technical Analysis
The US Dollar started a fresh decline from well above the 145.00 zone against the Japanese Yen. The USD/JPY pair declined below the 144.50 and 144.00 levels.
Besides, there was a break below a key bullish trend line with support near 144.55 on the hourly chart. There was a drop below the 143.80 level and the 50 hourly simple moving average. Besides, there was a break below a key bullish trend line with support near 144.55 on the hourly chart.
It tested the 143.50 zone. A low is formed near 143.52 and the pair is now correcting higher. There was a move above the 144.00 level.
The pair is now trading near the 38.2% Fib retracement level of the downside correction from the 145.31 swing high to 143.52 low. On the upside, an initial resistance is near the 144.50 level.
The 50% Fib retracement level of the downside correction from the 145.31 swing high to 143.52 low is also near the 144.50 level. The next major resistance is near the 145.50 level. Any more gains could send the pair towards the 146.50 level. The next key hurdle is near the 148.00 level.
An initial support on the downside is near the 144.00 level. The next major support is near the 143.50 level. Any more downsides might lead the pair towards the 142.50 support zone, below which the bears might aim a test of the 141.20 support zone.
This forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as financial advice.
Trade global forex with the Innovative Broker of 2022*. Choose from 50+ forex markets 24/5. Open your FXOpen account now or learn more about making your money go further with FXOpen.
* FXOpen International, Innovative Broker of 2022, according to the IAFT
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.
