27.07.202008:12 Forex Analysis & Reviews: Analysis and trading recommendations for the EUR/USD and GBP/USD pairs on July 27

Trading recommendations for the EUR/USD pair on July 27

EUR/USD

Analysis of transactions

The euro stopped rising last Friday, even after the quote passed the level of 1.1619 in the trading chart. Both the movement towards the level of 1.1586 and the round of short positions led to losses in the EUR/USD pair.

Nevertheless, the euro still showed a good increase last Friday because of strong macroeconomic reports published on the eurozone. It continued rising today due to gold increasing in price because traders began to choose it amid losing trust on the US dollar. In addition, the upcoming US election continues to put pressure on the dollar.

• Buy positions when the quote reaches the level of 1.1718 (green line on the chart), targeting the level of 1.1750. The increase may occur after the data on Germany are published, in which any good news will influence the euro to rise in the trading chart. Exit the market at a value of 1.1750.
• Sell positions after the quote reaches the level of 1.1681 (red line on the chart), targeting the level of 1.1637. However, since a strong decline in price is not really expected, it is best to wait after a release of weak reports on Germany before making any decision to sell the pair. Exit the market at a value of 1.1637.

Trading recommendations for the GBP/USD pair on July 27

GBP/USD

Analysis of transactions

The British pound continued to rise last Friday, testing the level of 1.2748 several times. However, in the afternoon, a round of long positions from the level of 1.2722 brought a loss, but is fortunately covered by the buy positions in the trading chart.

As for news, there are no important reports on the UK economy today, which means that the pound may continue rising in value as long as the US dollar remains weak.

• Buy positions when the quote reaches the level of 1.2851 (green line on the chart), targeting the level of 1.2900 (thicker green line on the chart). Take profit at the value 1.2900.
• Sell positions after the quote reaches the level of 1.2824 (red line on the chart), targeting the level of 1.2780. If you do so, understand that it is trading against the trend, so be very careful when making transactions. Exit the market at the level of 1.2780.