Daily Technical Analysis

EUR/USD

Current level – 1.1320

Yesterday, the bears could not gain enough momentum and the sell-off was limited to the support at 1.1259. The pair recovered some of its losses against the dollar and, during the early hours of today`s trading, the EUR/USD is holding just above the level at 1.1316. If the bears start selling more aggressively, a breach and a new test of the mentioned support at 1.1259 will be the most likely scenario, which would strengthen the negative expectations for the future path of the EUR/USD. If the bulls prevail, a successful breach of the resistance zone at 1.1372 would continue the recovery for the common european currency against the greenback towards the target at 1.1461.

USD/JPY

Current level – 113.41

The attempt to violate the support zone at 112.75 was not successful and the Ninja continued its trading back in the zone between 113.04 and 113.79. If the bulls prevail, the expectations are for a test of the upper border, where a breach would easily pave the way towards the next target at 114.09. The first support is the zone at 113.04, but only a breach aimed towards the last level at 112.75 could lead to new losses and а future depreciation of the dollar against the yen.

GBP/USD

Current level – 1.3310

The support zone at 1.3224 successfully withheld the bearish attack and, at the time of writing, the pair is trading just above the level at 1.3285. If the bulls take control, they could test the resistance zone at 1.3352, but only a successful breach of the next target at 1.3399 could lead to a change in the current sentiment of the market participants. Worse-than-expected data in the UK for its manufacturing PMI (today; 09:00 GMT) could help the bears take control and violate the level at 1.3285. If this turns out to be the case and the support at 1.3224 is breached as well, the depreciation of the pound against the dollar would most likely continue towards the levels from November 2020 at around 1.3130.