EUR/USD is recovering losses from 1.1540. USD/JPY is correcting gains from 153.20 and might decline further below 151.00.
Important Takeaways for EUR/USD and USD/JPY Analysis Today
- The Euro struggled to stay in a positive zone and declined below 1.1650 before finding support.
- There was a break above a connecting bearish trend line with resistance at 1.1590 on the hourly chart of EUR/USD at FXOpen.
- USD/JPY rallied significantly before the bears appeared near 153.20.
- There is a major bearish trend line forming with resistance near 151.55 on the hourly chart at FXOpen.
EUR/USD Technical Analysis
On the hourly chart of EUR/USD at FXOpen, the pair started a fresh decline from 1.1720. The Euro declined below 1.1650 and 1.1600 against the US Dollar.
The pair even declined below 1.1565 and the 50-hour simple moving average. Finally, it tested the 1.1540 zone. A low was formed at 1.1541, and the pair is now recovering losses. There was a move above 1.1600 and a connecting bearish trend line at 1.1590.
The pair surpassed the 23.6% Fib retracement level of the downward move from the 1.1721 swing high to the 1.1541 low. On the upside, the pair is now facing resistance near the 50% Fib retracement at 1.1630.
The first major hurdle for the bulls could be 1.1650. An upside break above 1.1650 could set the pace for another increase. In the stated case, the pair might rise toward 1.1720.
If not, the pair might drop again. Immediate support is near the 50-hour simple moving average and 1.1590. The next key area of interest might be 1.1540. If there is a downside break below 1.1540, the pair could drop toward 1.1500. The main target for the bears on the EUR/USD chart could be 1.1440, below which the pair could start a major decline.
USD/JPY Technical Analysis
On the hourly chart of USD/JPY at FXOpen, the pair started a steady decline from well above the 153.00 zone. The US Dollar gained bearish momentum below 152.50 against the Japanese Yen.
The pair even settled below 152.00 and the 50-hour simple moving average. A low was formed at 151.00, and the pair is now consolidating losses. On the downside, the first major support is near 151.00.
The next key region for the bulls might be 150.00. If there is a close below 150.00, the pair could decline steadily. In the stated case, the pair might drop toward 148.80. Any more losses might send the pair toward 148.00.
Immediate resistance on the USD/JPY chart is near the 23.6% Fib retracement level of the downward move from the 153.27 swing high to the 151.00 low at 151.55. There is also a major bearish trend line at 151.55.
If there is a close above the trend line and the hourly RSI moves above 50, the pair could rise toward 152.00 or the 50% Fib retracement level at 152.15. The next major barrier for the bulls could be 152.75, above which the pair could test 153.50 in the coming days.
Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips. Open your FXOpen account now or learn more about trading forex with FXOpen.
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.
