Serj Panchuk
According to Howard Friend, Chief Market Strategist with MIG Bank, GBPUSD has continued its recovery, started at 1.5297, crossing the resistance at 1.5532 and offering opportunities for gaining bigger profits. However, the forecast for the next few weeks remains negative, as the 1.5997 level is considered to be the end of the correction from May’s rebound (1.4230) and the 1.5532/1.5759 zone is the upper limit, rebounding from which the price may break through 1.5297, which in its turn will reopen the way to 1.4948/1.5000 (outer weekly support/psychological level) and allow the price to go further down to 1.4781 and 1.4230. Buy orders above 1.5532/1.5759 or another break through 1.5997 will show that there is a probability of positive movement within a couple of weeks, with an accent to the resistance at 1.6458/1.6878 before the currency pair moves to the top.
EURUSD has overcome the 1.2919 level, increasing its recovery from the recent minimum at 1.2588. The general picture for EUR is still negative (the trend is bearish) as the last maximum at 1.3334 is the peak of the correction against the downward movement 1.5144/1.1876 and the price is still moving down to the 1.2919/1.3080 zone, as an opportunity to go further down to 1.2588 towards the outer weekly support at 1.2151 before testing May’s maximum at 1.1876 from the beginning of the wave (1.5144).
Meanwhile, buy orders above 1.2919/1.3080 will press 1.3334. If consolidated above the level, the price may be pushed further up to 1.3692/1.4000 with a more positive long-term scenario.
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Serj Panchuk
