EUR/USD

The bears showed activity at the end of the previous week. As a result, last week has a bearish potential in history. The current deceleration was outlined from the meeting with the doubled weekly support in the area of 1.2103 (weekly Fibo Kijun + weekly short-term trend). The breakdown of these levels will open up opportunities to move to the next accumulation of supports of different time frames in a fairly wide range of 1.2027 - 1.1977 - 1.1950.

In turn, the formation of a rebound from the encountered supports and the restoration of bullish positions will return the pair to the consolidation and attraction zone, with the center formed by the day Ichimoku cross (1.2184 - 1.2160) and the historical level (1.2150). Next, the most important area for the bulls will be 1.2243-66 (maximum extremum + historical border).

The primary advantage in the smaller time frames remains on the bears' side. However, bulls are currently forming a corrective rally, whose main pivot points are the central pivot level (1.2131) and the weekly long-term trend (1.2166). A consolidation above which will change the current balance of power in the smaller period and return the pair to the attraction zone of the accumulated levels (1.2150-60-84) of the bigger time frames. But in the event that the downward trend is restored and the decline continues, we can note the intraday downward targets at 1.2069 - 1.2030 - 1.1968 (classic pivot levels).

GBP/USD

The bears failed to change the situation or achieve a new result despite the bearish activity last Friday. The pair remained in the zone of the current consolidation, relying on its lower support, led by the level of 1.4090. In this situation, the exit from the consolidation zone coincides with the liquidation of the daily Ichimoku gold cross. Further, there are prospects for a decline to the area of 1.4008-22 (weekly short-term trend + historical level) and 1.3958 (upper border of the monthly Ichimoku cloud + daily cloud).

Now, the center of the current consolidation is the daily short-term trend (1.4135). The border of 1.4240-48 (historical level + maximum extreme) is still the upper border and the main upward pivot point.

The bears currently have the advantage in the small time frames. An hour ago, they tested the first support for the classic pivot levels (1.4071). Other support levels can be noted at 1.4038 (S2) and 1.3982 (S3). Today, the key levels are forming a resistance area at 1.4127-43 (central pivot level + weekly long-term trend). A consolidation above will change the balance of power on the hourly chart and create opportunities to strengthen the bullish mood.

***

Ichimoku Kinko Hyo (9.26.52) and Kijun-sen levels in the higher time frames, as well as classic Pivot Points and Moving Average (120) on the H1 chart, are used in the technical analysis of the trading instruments.