01.04.202113:41 Forex Analysis & Reviews: Technical analysis recommendations for EUR/USD and GBP/USD on April 1, 2021

EUR/USD

Bearish traders managed to close March on a positive note, but the result of interaction with the reached monthly support (1.1695) will already be determined in April. The Euro currency marked a daily slowdown, after declining to the influence zone of 1.1695 (monthly Fibo Kijun). Today, the nearest resistance levels are set at 1.1762-66 (target for the breakdown of the daily cloud + monthly short-term trend) and 1.1821-25 (first target reference + daily Tenkan).

The correctional movement continues in the smaller time frames and there is a struggle in the central pivot level (1.1731). In order for significant advantages and new prospects to appear, bulls need to seize the weekly long-term trend (1.1758) and reverse the moving average. If bullish activity continues, we can note additional pivot points located at 1.1787 (R2) and 1.1815 (R3). Alternatively, if the bears managed to update the low (1.1704) and continue to decline, then we can focus on the support of the classic pivot levels (1.1703 - 1.1675 - 1.1647).

GBP/USD

The situation yesterday remained the same. The pair still prefers to stay in the consolidation zone, limited by the weekly Fibo Kijun (1.3706) and the daily Tenkan, which is now at 1.3773 level today. If the resistance level of 1.3773 is broken, this may trigger the development of the daily upward correction, whose main pivot points are seen around the level of 1.3904.

Meanwhile, the breakdown of the support (1.3706) currently coincides with the task of leaving the daily Ichimoku cloud (1.3687). A consolidation below which will form a new downward target on the breakdown of the daily cloud and open up opportunities to further fall to the next pivots of 1.3542 (weekly Kijun) and 1.3457 (monthly Tenkan).

There is an attempt to break through the key levels in the smaller time frame, which are combined in the area of 1.3769-64 (central pivot level + weekly long-term trend) today. If the attraction zone of these levels is broken, new bullish prospects will emerge in the direction of 1.3821 - 1.3864 - 1.3916 (resistances of classic pivot levels). As for the bears, we can note the supports of the classic pivot levels 1.3726 - 1.3674 - 1.3621.

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Ichimoku Kinko Hyo (9.26.52) and Kijun-sen levels in the higher time frames, as well as classic Pivot Points and Moving Average (120) on the H1 chart are used in the technical analysis of the trading instruments.