EUR/USD, GBP/USD, USD/JPY Pivot Points, Ta – Mar. 13

EURUSD Daily Pivots

 

EURUSD managed to reverse from the lows and also broke the falling trend line. Price action looks to be entering a consolidation phase with the high at 1.06344 and low at 1.04959 established. A break of either the high or the low could mark the continuation for the EURUSD in the near term. To the upside, a break of the second trend line ahead of the high of 1.06344 will see a potential push to the upside and could likely see a rally towards 1.08 zone. Given the bearish sentiment in the Euro, this scenario would be a bit difficult at the moment. Alternatively, a dip lower could see a retest to the break out of the price near the daily pivot level at 1.06 through 1.055 which could act as support.

USDJPY Daily Pivots

USDJPY failed to make higher highs after briefly breaking over 122 level. Instead, price action made lower highs while keeping a firm support at 121 levels. The consolidation pattern is shaping out for a triangle break out, which could push USDJPY towards the daily resistance level at 122.2. We expect a dip to the daily pivot level before the break out. With support firmly established, and the rising trend line also giving support to prices, declines are likely to be limited to 120.8 levels.

GBPUSD Daily Pivots

GBPUSD has weakened considerably, but is showing signs of slowing down its descent. Price action formed a short term high at 1.488 levels, and a break of this high is required to see a correction to the upside, likely to halt near 1.503 zone. With price still in the falling price channel, it is likely that the GBPUSD could continue to push lower. But given the proximity to the lower trend line of the channel, a correction could give more breathing space for declines.

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