In recent trading sessions, the USD/JPY pair has shown strength as it cleared the key resistance level at 158.20. Looking at the 4-hour chart, we can see the formation of a major bullish trend line with support at 158.20. The pair has also managed to rise above both the 100 and 200 simple moving averages on the 4-hour chart, indicating bullish momentum. As the pair continues its upward trajectory, the next major resistance to watch out for is at the 159.50 level. A break above this level could potentially push the pair towards the 160.00 mark. On the downside, immediate support can be found at 158.20, followed by a stronger support level at 157.80. A break below 157.80 could lead to a larger decline, with the pair potentially dropping towards 157.20.
Meanwhile, the EUR/USD pair has been struggling to clear the resistance zone at 1.0765. While the pair has corrected some of its losses, the bulls are finding it difficult to push the price above this key level. As the pair continues to face resistance at 1.0765, it remains to be seen whether it will be able to break through and continue its upward momentum.
In the upcoming trading sessions, traders will be closely watching a number of economic releases that could have an impact on both the USD/JPY and EUR/USD pairs. Key releases include Germany’s Manufacturing PMI, Euro Zone Manufacturing and Services PMI, as well as the UK and US Manufacturing and Services PMI for July 2024 (Preliminary). These economic indicators will provide insight into the health of the respective economies and could potentially influence the direction of the currency pairs.
The USD/JPY pair is showing strength with a clear bullish trend line forming, while the EUR/USD pair is facing resistance at the 1.0765 level. Traders should keep an eye on key economic releases that could impact the movement of these currency pairs in the near term.