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26.08.202413:47 Forex Analysis & Reviews: EUR/USD and GBP/USD: Technical Analysis for August 26

EUR/USD

Exchange Rates 26.08.2024 analysis

Higher time frames

Last week, the bulls achieved a successful rise and began testing the lower boundary of the monthly cloud (1.1184). If they can confirm and continue the upward movement now, the next nearest target on this path can be marked at the peak of 2023 (1.1276). In the case of a reversal, the market will first encounter the support of the daily Ichimoku cross (1.1076 – 1.1040 – 1.0990 – 1.0940), reinforced by weekly levels (1.0973 – 1.0956).

Exchange Rates 26.08.2024 analysis

H4 – H1

The bulls hold an advantage on lower time frames, but at the moment, the pair is working within a corrective zone and is close to testing the support of the central pivot level (1.1166). To continue the upward trend, the pair must go beyond the corrective zone, focusing on the bullish targets of the lower time frames: 1.1227 – 1.1261 – 1.1322 (resistances of the classic pivot levels). If the corrective decline develops further, the most important level will be the boundary of the weekly long-term trend, currently at 1.1126. A breakout and trend reversal can change the current balance of power. The next intraday bearish targets will be the support of the classic pivot levels (1.1071 – 1.1037).

***

GBP/USD

Exchange Rates 26.08.2024 analysis

Higher time frames

The past working week ended with significant progress by the bulls. They managed to go beyond the monthly cloud and test the peak of 2023 (1.3141). In case of a decline, this level may now act as support (1.3141). If the bulls sustain the rise, the next bullish target could be the psychological level of 1.3300.

Exchange Rates 26.08.2024 analysis

H4 – H1

The pair is currently working within a corrective zone on lower time frames. Nevertheless, the bulls retain the main advantage. If the rise continues, bulls will focus on the resistance of the classic pivot levels (1.3267 – 1.3321 – 1.3413). If the downward correction develops further, the most important tasks will be to pass the central pivot level of the day (1.3175) and break through the weekly long-term trend (1.3079). An intermediate support on this path today might be S1 (1.3121). A breakout and trend reversal can potentially change the current balance of power, favoring the dominance and strengthening of bearish sentiment in the longer term.

***

This technical analysis is based on the following ideas:

Larger time frames - Ichimoku Kinko Hyo (9.26.52) + Fibo Kijun levels

H1 – classic pivot points + 120-period Moving Average (weekly long-term trend)

*El análisis de mercado publicado aquí tiene la finalidad de incrementar su conocimiento, más no darle instrucciones para realizar una operación.

Evangelos Poulakis,
Analytical expert of InstaSpot
© 2007-2024
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