FX.co ★ Technical analysis recommendations for EUR/USD and GBP/USD on February 24

EUR/USD

The pair increased in the influence and attraction zone of the resistances of the weekly short-term trend (1.2150) and the all-time level of (1.2170) again. Once these levels are broken and the pair exits from the daily Ichimoku cloud (1.2200), the bulls will slightly strengthen their positions. However, the pair will still stay in the downward correction zone on the weekly and monthly time frames, so all bullish prospects will remain relative to the breakdown of the high extremum (1.2349). Today, the daily gold cross and the weekly Fibo Kijun (1.2102 1.2070-64) formed the nearest support.

There is a current struggle in the central pivot level of the day (1.2155) on the H1 chart. If the bulls remain above this level, then we can note the following pivot points set at 1.2174 - 1.2200 - 1.2219 (classic pivot levels). Alternatively, if the euro consolidates below it, then the next pivot point to continue the downward correction can be seen at 1.2113 (weekly long-term trend). The final support for the classic pivot levels is 1.2084.

GBP/USD

The bulls continue their growth after slightly declining at the first target (1.3904) of the weekly target. Today, they managed to test the resistance level of 1.4181, after fully breaking through the weekly target. Now, they are making an attempt to further rise. The pivot point will be the upper border of the monthly cloud (1.4314). The current nearest support is located quite deep, that is, at 1.4007 (daily short-term trend), which is unlikely to be significant.

Presently, the movement is inclined on the final upward pivot level 1.4197 (R3). There is a corrective deceleration. In this case, the levels in the upper time frames (i.e 1.4314 level), are the only levels allowed to be the bulls' pivot points. In turn, the key support levels in the smaller time frames are now located at 1.4093 (central pivot level) and 1.4004 (weekly long-term trend).

The following methods are used in the technical analysis of the situation:

Higher time frames – Ichimoku Kinko Hyo (9.26.52) + Fibo Kijun levels

H1 – Pivot Points (classic) + Moving Average 120 (weekly long-term trend)