The EUR/USD pair fell from 1.1800 and traded below 1.1750. The USD/JPY pair is rising and may rise above 158.00 and 158.80.
Important tips for analyzing the EUR/USD and USD/JPY pairs today
- The Euro started a new decline after a good move to 1.1800.
- There was a break below the major uptrend line with support at 1.1765 on the hourly chart of the EUR/USD pair at FXOpen.
- The USD/JPY pair rose above the 156.40 and 157.10 levels.
- There is a major uptrend line forming with support at 157.40 on the hourly chart of FXOpen.
Technical analysis of the EUR/USD pair
On the hourly chart of the EUR/USD pair at FXOpen, the pair rose above the 1.1780 resistance area before bears appeared, as discussed in the previous analysis. The Euro started a new decline and was trading below the 1.1765 level against the US Dollar.
There was a break below the major uptrend line with support at 1.1765. The pair fell below 1.1750 and tested 1.1720. A bottom was formed near 1.1721 and the pair started a consolidation phase.
There was a slight recovery wave above 1.1740 and the 23.6% Fibonacci retracement level of the downward move from the high of 1.1787 to the low of 1.1721. EUR/USD is still trading below 1.1750 and the 50-hour simple moving average.
On the upside, the pair is now facing obstacles near 1.1745. The next major resistance is 1.1755 and the 50% Fibonacci retracement level. The main barrier for the bulls could be 1.1785. A clear move above 1.1785 could send the pair towards 1.1840. A bullish break above 1.1840 may set the pace for the rally again. In the aforementioned case, the pair may rise towards the 1.1920 level.
If not, the pair may resume its decline. The first major support on the EUR/USD chart is located near 1.1720. The next important area for buyers is at 1.1700. If a downside breakout occurs below 1.1700, the pair could fall towards 1.1675. Any further losses may send the pair towards the 1.1640 level.
Technical analysis of the USD/JPY pair
On the hourly chart of USD/JPY at FXOpen, the pair started a new upward movement from 155.00. The US dollar gained upward momentum above the 156.50 level against the Japanese yen.
It even crossed the 50-hour simple moving average at 157.00. The pair rose above 157.50 and was trading at a high of 157.78. The pair is now consolidating its gains above the 23.6% Fibonacci retracement level of the upward move from the 155.03 swing low to the 157.78 high.
Current price action above 157.40 is positive. Immediate resistance on the USD/JPY chart is located at 157.80. The first major hurdle is near 158.00. If there is a close above 158.00 and the RSI moves above 65, the pair could rise towards 158.80.
The next major stop point for the bulls could be 159.50, above which the pair could test 160.00 in the coming days. On the downside, the first major support level is at 157.40, which is the uptrend line and the 50-hour simple moving average.
The next area of interest for buyers could be 157.10. If there is a close below 157.10, the pair could decline steadily. In the mentioned case, the pair may decline towards the 50% Fibonacci retracement level at 156.40. Any further losses may open the door to a decline to 155.00.
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