The EUR/USD is showing a bullish reversal after hitting the 1.1550 support zone. A bullish ABC pattern is likely to take price up towards the resistance zone at 1.1850. The GBP/USD will probably build a bullish ABC too and challenge a key resistance zone at 1.3350.
The EUR/USD is showing strong bullish weekly candles which is indicating the chance of a larger bullish bounce. Therefore price is expected to complete a bullish wave A and could now be building a bearish ABC pattern within wave B. A bullish bounce in the support zone should take price back up again for a wave C towards the 38.2% Fib at 1.1850.
The GBP/USD will probably follow the EUR/USD and make a bullish bounce but the GU looks less bullish. That said, a bullish ABC pattern is likely if price is able to build a wave 4 correction and then push up one more time for a wave 5.
Check out the video for the full analysis and trade plans on 22-23 July 2018:
Good trading,
Chris Svorcik
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