FX.co ★ Technical analysis and recommendations on EUR/USD and GBP/USD on June 23

EUR/USD

The situation has not noticeably changed over the past day. The pair continues to remain below the levels it returned to for the retest. A consolidation above the range of 1.1950-75 (lower border of the daily cloud + monthly short-term trend + weekly Fibo Kijun) will allow us to consider further prospects for the recovery of bullish positions, although this will not be easy, since there is a fairly wide resistance zone ahead (1.2007 - 1.2027 - 1.2057 - 1.2103).

If the retest is completed, updating the low and breaking the upper limit of the weekly cloud (1.1833) will open up opportunities to decline and fulfillment of the target for the breakdown of the daily Ichimoku cloud (1.1684-19), reinforced by the monthly Fibo Kijun (1.1695).

The development of the correction in the smaller time frames led the pair to strengthen, which is currently formed by the combination of the key levels of 1.1925-34 (central pivot level + the weekly long-term trend). The breakdown and consolidation above could change the current balance of power, but it should be noted that the next bullish traders will struggle with the resistance (1.1950-75) in the bigger time frames, so the future prospects will depend on the reliability of breaking through all these resistances.

GBP/USD

The bulls are trying to restore their positions during the opening of the week, but there is now a fairly wide resistance zone 1.3935 - 1.4017 (daily cloud + daily and weekly cross + monthly cloud border). The breakdown of the attraction zone and a movement above the indicated resistance levels, with the subsequent consolidation of the result, will allow us to consider new upward prospects.

The pound surged to the key levels of 1.3922-24 (central pivot level + weekly long-term trend) in the smaller time frames. The next intraday upward targets are the resistances of the classic pivot levels (1.3986 - 1.4025 - 1.4089). It is worth noting that the resistances in the higher period will be very important on this path. If the range of 1.3922-24 is broken, the bears will be given opportunities to restore their positions. In this case, today's supports of the classic pivot levels are set at 1.3883 - 1.3819 - 1.3780.

***

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.