FX.co ★ Technical analysis and recommendations on EUR/USD and GBP/USD on June 16

EUR/USD

The deceleration indicated at the meeting with weekly supports at 1.2103 (Fibo Kijun + short-term trend) continues. The breakdown of this level will allow us to consider the new downward pivot points, which are currently forming a fairly strong and wide support zone within the daily cloud (1.2036 - 1.1943). On the other hand, the daily cross (1.2133-59-84) stays above the current movement with resistance levels of 1.2133-59-84, supported by the historical level of 1.2150. The key upside border of this section retains its location at 1.2243-66 (historical level + maximum extreme).

The pair remains tied to the central pivot level (1.2124) in the smaller time frames. The resistance to the weekly long-term trend (1.2143) separates the euro from the possibility of changing the current balance of power, although it is not enough to overcome and deploy the moving average on H1 in order to form a reliable advantage.

In the current situation, it is also important to leave the resistance zone of 1.2133-59-84 in the bigger time frames. The resistances of the classic pivot levels are set at 1.2148 - 1.2170 - 1.2194, while the support levels are at 1.2102 - 1.2078 - 1.2056.

GBP/USD

The bears' attempt yesterday to leave the current consolidation zone and break through the support of 1.4090-98 (daily Fibo Kijun + target target of the fulfilled daily target) was unsuccessful since too long shadow was formed on the daily candle. Today, bulls are making efforts to return to their original positions. At the moment, the levels of the daily Ichimoku cross (1.4116-27-55) provide the main attraction.

The bulls are currently testing the strength of the weekly long-term trend (1.4117) in the smaller time frames. A consolidation above it will change the balance of forces on the hourly chart. This will open the way towards growth, followed by testing the intraday upward targets, which are at 1.4128 - 1.4175 - 1.4223 (classic pivot levels).

On the contrary, a return to the bears' side of the central pivot level (1.4080) will create preconditions to restore the downward trend (1.4033). The supports of the classic pivot levels are seen at 1.4033 - 1.3985 - 1.3938 today.

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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.