FX.co ★ EUR/USD and GBP/USD: Technical analysis on April 3

EUR/USD

Higher Timeframes

Over the past trading day, a daily rebound from the weekly support at 1.0742 was formed. As a result, this support (1.0742) retains its status as the most important target for bearish players in the current conditions. However, if there is a continuation of the corrective rise, it will lead to a test of recently passed levels of various timeframes, combining their efforts into a wide resistance zone, the nearest levels of which can now be noted at 1.0795 - 1.0809 - 1.0818.

H4 - H1

The daily corrective rebound on lower timeframes has brought the pair to a key resistance responsible for intraday distribution of the current balance of power. The key level on lower timeframes is the weekly long-term trend, currently at 1.0783. Trading below this level maintains the main advantage on the bearish side. Today, bearish sentiments can be developed by breaking through support levels of classic pivot points (1.0758 - 1.0736 - 1.0703 - 1.0681). A breakthrough and consolidation above the weekly trend (1.0783) will favor strengthening bullish sentiments, with resistance levels of classic pivot points (1.0791 - 1.0813 - 1.0846) becoming reference points.

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GBP/USD

Higher Timeframes

At the close of the previous session, the attraction of the weekly support (1.2577) managed to halt the decline and return the market to its influence zone. Therefore, if bearish players want to continue the decline, the targets of which were detailed in yesterday's review, they first need to overcome the attraction and influence of the weekly support at 1.2577. However, if bullish players continue restoring their positions now, the market will first encounter resistance from the daily short-term trend (1.2606), and then the daily cloud may come into play (1.2637 - 1.2671).

H4 - H1

On lower timeframes, the pair continues to work within a correction zone. Currently, the central pivot point of the day (1.2563) is being used as support. The next supports during intraday decline will be the classic pivot points S1 (1.2548) - S2 (1.2524) - S3 (1.2509). A change in intraday priorities may occur upon the breakthrough and reversal of the weekly long-term trend (1.2601). To further strengthen bullish sentiments, the resistance levels of classic pivot points located above the trend will be crucial, with today's R3 (1.2626) being the reference point.

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The technical analysis of the situation uses:

Higher timeframes - Ichimoku Kinko Hyo (9.26.52) + Fibonacci Kijun levels

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