The US dollar bounced back recently and was one of the causes of the cryptocurrency dip. Whenever you are interested in forex or bitcoin trading, these are the two pairs you should watch very closely in the next days.
The current formation of the EURUSD currency pair hints at the construction of an uptrend, which is located inside two channels: yellow and green.
The price is currently at the lower line of the yellow channel near 1.180. If the bears have enough strength to break through this level, the decline may continue towards the support level of 1.157, located on the lower green line.
Alternatively, the following scenario is possible. If the bears can’t continue to drive the price down, then we may see the currency pair continue to grow towards the upper green wall and the resistance level of 1.220.
If this level is broken, the bulls will open the way to the upper yellow line and the level of 1.237, which is on it.
The situation is similar for GBPUSD. We see a large uptrend moving inside the green and yellow channels.
Not so long ago, we saw the price rebound from the upper green line. Currently, the market is on the lower wall of the yellow channel, near the support level of 1.311. If the bears can break through this level, the price decline can be continued to the lower green wall and the support level of 1.285.
However, there may be a rebound from the yellow line and market growth towards the upper green line. If the bulls break through the resistance level of 1.360, the path to the upper yellow wall and the resistance level of 1.416 will be opened for the currency pair.
It is preferable to add this pair on our watchlist!