EUR/USD and GBP/USD forecasts

Rony Nehme SquaredFinancial

EUR/USD

The Euro fell to our support level around 1.2170 after the US Dollar surged on the back of Philadelphia’s Fed Bank President Patrick Harker mentioning the sensitive subject of tapering bond-buys. The selloff did not last long, however, as the EURUSD currency pair quickly reversed higher and is now once again drifting around in familiar ranges, while technical indicators favor further decline with the 200-period SMA as next key support line.

Support: 1.2170 / 1.2130.
Resistance: 1.2240 / 1.2280.

GBP/USD

The British Pound fell to our target at 1.4110 on the back of a stronger US dollar, and although the GBPUSD currency pair did bounce back slightly higher, it is still depressed below our key resistance level at 1.4170 as traders await the latest UK PMI data, US Initial Jobless Claims, and US PMI data to gauge the market sentiment, with technicals still signaling weakness ahead.

Support: 1.4110 / 1.40.
Resistance: 1.4170 / 1.4210.

Author

Rony Nehme

SquaredFinancial

Rony has over twenty years of experience in financial planning and professional proprietary trading in the equity and currency markets.

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