EURUSD and GBPUSD: The euro is stable above 1.08500

EURUSD chart analysis

During the Asian session, the EURUSD found support at the 1.08500 level. We then see a jump to the 1.09000 level, where we have some resistance for now. We need an impulse that would move us to the 1.09500 level, and with that, we would form a new higher high. Then, we need the euro to break above and stay above for accumulation before a new impulse could form a new support zone to continue to the bullish side.

The potential next target is the 1.10000 level. We need a negative consolidation and a new pullback to the 1.08500 support level for a bearish option. A breakout of the euro below could increase pressure on the European currency. And the euro could fall to 1.07500-1.08000, last week’s support zone.

GBPUSD chart analysis

During the Asian trading session, GBPUSD held above the 1.23000 level. We saw a small advance to the 1.23400 level, then the pound made a new pullback and turned toward the previous support zone. For a bearish option, we need a breakout below and negative consolidation. After that, we could see a drop to the 1.22000 level.

Further instability of the pound could lead to continued decline, and potential lower targets are 1.21000 and 1.20000 levels. We need a positive consolidation and a move toward the 1.24000 level for a bullish option. Then we need a breakout above and try to hold up there. With a new bullish impulse, we would continue to grow. Potential higher targets are 1.24500 and 1.25000 levels.