FX.co ★ Technical analysis of EUR/USD and GBP/USD on August 12, 2022

EUR/USD

Higher time frames

Yesterday, the pair managed to stay above the weekly short-term trend (1.0285). It is the last trading day of the week, so the focus is on the closing level today. Bullish sentiment is likely to increase if the price closes above the weekly short-term trend (1.0285) today. The nearest bullish target is seen in the 1.0419 – 1.0465 range of the Ichimoku cloud. Support is still standing at the daily golden cross levels (1.0246 – 1.0210 – 1.0160 – 1.0111).

H4 – H1

In lower time frames, the pair is still in the zone of uncertainty and correction. The key target is at the central daily Pivot level of 1.0320. Bearish power is likely to increase after a breakout through the MA and its reversal. Another bullish intraday target is at classic Pivot levels of 1.0364 – 1.0409 – 1.0453, in line with resistance. Additional bearish targets stand at 1.0231 – 1.0186 support (classic Pivot).

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GBP/USD

Higher time frames

The pair entered the range of the daily cloud but failed to extend growth yesterday. Since it is the last trading day of the week, the focus is on the closing level today. If the price closes below this week's tested 1.2082 resistance (daily cloud + weekly short-term trend), a pullback will occur and bearish sentiment will grow. Alternatively, in case of a breakout through the daily cloud (1.2270) and consolidation in the bullish zone, bullish sentiment is likely to increase.

H4 – H1

In lower time frames, moving down, the pair tested the weekly long-term trend at 1.2131. Once the pair breaks and consolidates below the level, bearish sentiment is likely to rise. In such a case, support is seen at 1.2082 and 1.2000 in the higher time frames.

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Indicators used in technical analysis:

higher time frames – Ichimoku Kinko Hyo (9.26.52); Fibo Kijun

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