13.10.202010:42 Forex Analysis & Reviews: Technical recommendations for EUR/USD and GBP/USD on October 13

EUR / USD

The struggle for strengthening in the level of 1.1811 remains. A reliable consolidation above will allow the bulls to gain support from the weekly short-term trend and eliminate the Ichimoku daily dead cross, which can lead us to new pivot points. For example, entering the bullish zone relative to the daily Ichimoku cloud (1.1870) and the recovery of the upward trend (1.2011). The support levels in the current conditions are the levels of the daily cross 1.1764 and 1.1729. It will be possible to consider bearish advantages and further plans only after breaking through the important support in this area at 1.1688 (the lower limit of the monthly cloud).

The euro/dollar pair is in the correction zone in the smaller time frame. By now, the support of the central pivot level (1.1808) has been lost. In addition, technical indicators tuned in to the development of bearish sentiments. But the bears will gain main advantage on hourly TF after consolidating below the weekly long-term trend (1.1781) and the reversal of the moving average. Meanwhile, other pivot points within the day are support (1.1769 - 1.1752) and resistance (1.1830 - 1.1847 - 1.1869) of the classic pivot levels.

GBP / USD

The pound/dollar pair continued to rise and is currently testing the resistance of the weekly short-term trend (1.3076). If this resistance level is broken, the next important limit for the bulls will be the level of 1.32, followed by exiting to the bullish zone relative to the daily Ichimoku cloud. On the other hand, the previous center (1.2943 week Fibo Kijun) has now merged with the daily cross levels (1.2951-21) and forms the nearest protected support zone.

The current downward correction led to the fact that the analyzed technical indicators switched to support the bears. The key supports for the current correction are the central pivot level (1.3049) and the weekly long-term trend (1.2964), while the nearest support can be noted at 1.3015 (S1). The support levels in the smaller time frames are strengthened from the higher TF (1.2951-21), so passing this line and consolidating below will significantly affect the distribution of forces and require a new assessment of the situation. At the same time, the completion of the correction and recovery of the upward trend will return (1.3082) will return the relevance of the pivot points in the form of resistances levels (1.3093 - 1.3127 - 1.3171).

Ichimoku Kinko Hyo (9.26.52), Pivot Points (classical), Moving Average (120)