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FX.co ★ Technical recommendations for EUR/USD and GBP/USD on January 19

Technical recommendations for EUR/USD and GBP/USD on January 19

EUR/USD

Technical recommendations for EUR/USD and GBP/USD on January 19

The situation was not really affected by yesterday, although activity and effectiveness did not occur. The reason lies in the decline in the influence zone of the reached support level of 1.2075-65 (weekly Tenkan + weekly Fibo Kijun), which can lead to the formation of a rebound from the met support levels. The resistance level is still at 1.2170 (all-time level) and the daily cross is at 1.2170 - 1.2207 - 1.2241. If the bulls lack the strength to implement the rebound, then the reached support levels of 1.2075-65 will be broken after a stagnation. In this case, the pivot points will be the upper border of the daily cloud, which is located at 1.1997 and the weekly mid-term trend at 1.1975.

Technical recommendations for EUR/USD and GBP/USD on January 19

The corrective growth is actively developing in the smaller time frame. The bulls are almost testing the resistance of the weekly long-term tendency (1.2133). Once this is broken, the market situation can change. In this case, the pivot points will be the levels in the higher time frames, that is, from 1.2170 and above. In contrast, the chance to further strengthen bearish mood can return upon the completion of correction, return of the bears to the central pivot point (1.2073) and update of the low.

GBP/USD

Technical recommendations for EUR/USD and GBP/USD on January 19

Bull did not manage to overcome the daily short-term trend (1.3580), so the pair closed above this level yesterday. Moreover, the support and its location remained unchanged – 1.3580 (daily Tenkan) - 1.3490 (daily Fibo Kijun) - 1.3422 (daily Kijun + weekly Tenkan) - 1.3450 - 1.3314 (lower limit of the monthly cloud + daily cloud + weekly and monthly Fibo Kijun). Now, it is important for the bulls to update and consolidate above the maximum extreme of the current correction (1.3710).

Technical recommendations for EUR/USD and GBP/USD on January 19

No one is currently prevailing in the smaller time frames. The pair is moving in the key levels above the central pivot level (1.3567), but below the weekly long-term tendency (1.3626). A clear advantage can only be achieved if one of the parties successfully conquer both levels. The resistance levels of the classic pivot point are located at 1.3648 and 1.3696, while support levels are at 1.3534 - 1.3486 - 1.3453.

Ichimoku Kinko Hyo (9.26.52), Pivot Points (classic), Moving Average (120)

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade
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