FX.co ★ Trading recommendations for starters of EUR/USD and GBP/USD on June 23, 2021

Here are the details of the economic calendar from June 22:

The data on sales in the US secondary home market for May was published yesterday, where a decline of 0.9% was recorded.

The report on sales in the secondary housing market is prepared by the National Association of Realtors and is an important indicator of the state of the US real estate market, which is considered an essential element of the economy. A negative report may lead to a weakening of the US dollar.

Analysis of trading charts from June 22:

The EUR/USD pair managed to prolong the correction course previously set in the market. As a result, the euro rate approached the lower border of the psychological area 1.1950/1.2000/1.2150.

The trading recommendation on June 22 considered the possible upward price movement in the event that the level of 1.1930 is broken.

The GBP/USD pair has a similar cycle, where the quote has entered the significant psychological area of 1.3950/1.4000/1.4050. It is worth considering that the correction move from the variable base of 1.3785 is still relevant among market participants.

The trading recommendation on June 22 considered buy positions, but after the price holds above the level of 1.3950.

Trading recommendation for EUR/USD and GBP/USD on June 23, 2021

Today is the day of statistical data on business activity, which will most likely lead to speculative price fluctuations by the time it is published.

Europe will be the first to report on business activity, where the index of business activity in the manufacturing sector for June is expected to decline from 63.1 points to 62.1 points.

The index is prepared by Markit Economics, which monitors the activity of purchasing managers in the manufacturing sector and reflects the changing business conditions in this industry. The growth of the index leads to a strengthening of the economy and an increase in the value of the national currency. The decline in the index is considered a negative factor, which leads to a weakening of the national currency.

The index of business activity in the European services sector may increase from 55.2 to 57.8 points.

8:00 Universal time - Europe

The UK will be the second one to release the indices, where the index of business activity in the manufacturing sector may decline from 65.6 points to 64.0. At that time, the index in the services sector could rise from 62.9 to 63.0 points.

8:30 Universal time - Britain

The United States will finish it off, whose index of business activity in the manufacturing sector is expected to decline from 62.1 points to 61.5 points. The PMI in the services sector may also fall from 70.4 to 70.0.

13:45 Universal time - USA

Looking at the EUR/USD trading chart, one can see that the quote follows within the coordinate of 1.1950, but if the price is held above the level of 1.1965, a movement towards 1.2000 is not excluded.

As for the trading chart of the GBP/USD, it shows that buyers have already approached the level of 1.4000, which indicates the prolongation of the correction. The next round of buyers will occur after the price is kept above the level of 1.4010. Otherwise, there might be a reduction in the volume of long positions (buy positions).