17.03.202114:00 Forex Analysis & Reviews: Technical analysis recommendations for EUR/USD and GBP/USD on March 17

EUR/USD

Bears declined to the support of the weekly Fibo Kijun (1.1886) and made a temporary break. If this target is broken, it will let us consider the possibilities for implementing the target for the breakdown of the daily cloud. The first target is set at 1.1821. This can be fully broken after the level of 1.1762, which is currently strengthened by the monthly short-term trend (1.1767), is tested. Today, we can note the nearest resistance levels at 1.1913 (daily Tenkan) and 1.1975-91 (weekly Kijun + daily Fibo Kijun).

The prolonged absence of the bearish initiative, and the closeness of the influence and attraction of the key levels, contributed to the fact that the analyzed technical instruments differed in their preferences at the smaller time frames. In order for the bears to continue the downward trend, they should update yesterday's low (1.1882). The intraday pivot points will be the support of the classic pivot levels (1.1872 - 1.1842 - 1.1802). On the contrary, the breakdown of the key resistances of 1.1912-32 (central pivot level + weekly long-term trend) will return the mood and prospects of the bulls.

GBP/USD

Bearish traders failed to exit the attraction and influence zone formed by the combination of weekly and daily levels in the area of 1.3904 - 1.3880. They only managed to cast a long lower shadow rather than breaking through these levels. Therefore, further bearish prospects will continue to rely on the breakdown of 1.3904 - 1.3880 and on the update of the low of 1.3777.

As for the bulls, they are currently supported by the support zone of 1.3904 - 1.3880, which may help them break through the Ichimoku daily cross. Its levels are set at 1.3953 - 1.4007 - 1.4062 today.

The bulls in the smaller time frames are struggling to get the key levels. At the moment, the weekly long-term trend is at 1.3916 and the central pivot level of the day is at 1.3868. If the price consolidates above it, this will favor the strengthening of the bullish sentiment. The next intraday upwards targets can be noted at 1.3965 (R2) and 1.4024 (R3).

Today, the current attraction and influence zone (1.3904 - 1.3880) in the higher time frames are strengthening the area of the key levels (1.3868 - 1.3916). Therefore, a price consolidation below may allow the bears to make new plans. We will consider the downward pivot points of the classic pivot levels set at 1.3830 - 1.3771 - 1.3733.

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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.