25.08.202009:26 Forex Analysis & Reviews: Analysis and trading recommendations for the EUR/USD and GBP/USD pairs on August 25

Trading recommendations for EUR / USD on August 25.

Analysis of transactions

The absence of macroeconomic reports created a bullish mood in the euro this morning, but it was not enough to make large movements in the EUR / USD pair. Hence, movement from the level of 1.1816 gave only about 25 points of profit, after which price began to decline in the market.

The upcoming report on the German economy is also set to put pressure on the European currency. Any reduction in the data will lead to another wave of price decrease in the EUR / USD pair.

At the same time, the report on consumer confidence in the United States scheduled to be released this afternoon could also affect the rate of the euro, so a decline is very much expected in the pair today in the market.

• Buy positions when the quote reaches the level of 1.1844 (green line on the chart), targeting a rise to the level of 1.1907. However, only good data on German GDP can drive such an increase in the euro. Take profit at the level of 1.1907.
• Sell positions after the quote reaches the price level of 1.1794 (red line on the chart), targeting a drop towards the level of 1.1735. Weak reports and a slowdown in economic recovery in Germany will increase pressure on the euro, which will lead to its decline in the market. Take profit at the level of 1.1735.

Trading recommendations for GBP / USD on August 25.

Analysis of transactions

Recent price movement in the pound only gave about 20 points of profit, as the absence of macroeconomic reports slowed down activity in the market. Nevertheless, a buy signal has been generated in the GBP / USD pair.

The upcoming data on UK retail sales may also support a rise in the pound, but if there is no growth after the release of data, transferring into sell deals is the best action since the direction of the pair is actually downward.

• Buy positions when the quote reaches the level of 1.3131 (green line on the chart), targeting a rise to the level of 1.3197 (thicker green line on the chart). Take profit at the level of 1.3197.
• Sell positions after the quote hits a price level of 1.3079 (red line on the chart). Weak data will put even more pressure on the pound, which will lead to another wave of decline in the pair. Target profit is the level of 1.3006.