EUR/USD: Correction Underway
Eurodollar has corrected back from a strong resistance level of pivots situated at 1.3120. It has found support at the trend-line at 1.3090. Overall the up-trend is still intact and it will probably recover, with 1.3167 still a key level, which if breached could lead to a strong move higher; however, a break below 1.3050 is a possibility and would open the way to a move down to 1.3000, if the pull-back extends.
GBP/USD: Head and Shoulders
Cable is showing a head and shoulders pattern on the hourly chart which looks like it will probably breakdown. A decisive break below 1.6079 could signal a move down to the price target at 1.6040, although support at 1.6050 could also slow the sell-off. A break above the 1.6118 highs, on the other hand, might negate the H&S and see a covering rally, develop up to old-trend resistance at 1.6140.
Analysis By: Forex4you Analyst - Joaquin Monfort.
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