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EURUSD Remains Solid, Whilst GBPUSD Stays Vulnerable

Technical Analysis

The US Dollar is mixed against European currencies, with an EURUSD resilient consolidation tone during the past week, maintaining bullish pressures from the late March/ early April.

However, lacklustre rebound efforts recently from GBPUSD, leave a bearish theme into mid-April.

EURUSD

An erratic tone Friday, but again, as expected another upside break to reinforce the prior push above notable 1.1376 and 1.1395 resistances, to defend 1.1308 support and to leave an upside bias for Monday.

For Monday/ Tuesday:

  • We see an upside bias for 1.1438 and 1.1455; break here aims for key 1.1495, maybe towards 1.1545
  • But below 1.1334 aims for 1.1308 and maybe opens risk down to 1.1282.

Short/ Intermediate-term Outlook – Upside Risks: A strong rally through the 10/03 ECB Meeting through 1.1157 shifted the intermediate term outlook to bullish.

  • We see a positive tone with the bullish threat to 1.1495.
  • Above here targets 1.1714 and 1.1871.

What Changes This? Below 1.1055 signals a neutral tone, only shifting negative below 1.0821.

Daily EURUSD Chart

EURUSD

GBPUSD

A low level defensive consolidation Thursday-Friday with a lower low and lower high Friday, after the Wednesday plunge through key 1.4053/52 and 1.4029 supports, to again leave a bear tone for Monday.

Furthermore, the surrender the 1.4029 level switched the intermediate-term outlook from a neutral range theme to bearish for April.

For Monday/ Tuesday:

  • We see a downside bias for 1.4038; break here aims for 1.4004/00, maybe 1.3955.
  • But above 1.4171 aims for 1.4280.

Short/ Intermediate-term Outlook – Downside Risks:

  • We see a negative tone with the bearish threat to 1.3834.
  • Below here targets 1.3656 and 1.3504/00.

What Changes This? Above 1.4459 signals a neutral tone, only shifting positive above 1.4515.

Read more forex technical analysis

Daily GBPUSD Chart

GBPUSD

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