Daily Technical Analysis

EUR/USD

Current level – 1.1724

The support zone at 1.1776 was not able to stop the bears as they took short-term control. After the aforementioned level was breached, a further decline today, with а test of the next support at 1.1694, can be expected. A breakthrough of the aforementioned level will pave the way to the lower zone at 1.1583 and confirm the negative expectations of the market participants. In the opposite direction, if the bulls re-enter the market, their first target will lie at 1.1776, followed by the resistance level at 1.1903. Volatility is expected to pick up after the announcement of the ZEW Economic Sentiment for the Eurozone and Germany at 09:00 GMT today.

USD/JPY

Current level – 106.12

The support zone at 1.1776 was not able to stop the bears as they took short-term control. After the aforementioned level was breached, a further decline today, with а test of the next support at 1.1694, can be expected. A breakthrough of the aforementioned level will pave the way to the lower zone at 1.1583 and confirm the negative expectations of the market participants. In the opposite direction, if the bulls re-enter the market, their first target will lie at 1.1776, followed by the resistance level at 1.1903. Volatility is expected to pick up after the announcement of the ZEW Economic Sentiment for the Eurozone and Germany at 09:00 GMT today.

GBP/USD

Current level – 1.3088

The GBP/USD is consolidating around the current level of 1.3088. Better-than-expected Claimant Count Unemployment change in the UK today at 08:30 GMT could lead to a positive push and test of the highs at around 1.3157. A breakthrough of this level would pave the way for new gains for the Cable and confirm that bulls are still in control. If bears prevail, their first target will lie at 1.3002, followed by the next support level at 1.2950.