Analysis and trading recommendations for the EUR/USD and GBP/USD pairs on September 22

Trading recommendations for the EUR / USD pair on September 22

Analysis of transactions

Another surge in coronavirus incidence, as well as high risk of another quarantine, led to huge sell-offs in the European currency, from the level of 1.1854. It brought about 60 pips of profit from the market.

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Further problems with the coronavirus will discourage investors from buying the euro, thus, it is best to bet on the continued fall of the EUR / USD pair.

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  • Buy positions when the quote reaches a price level of 1.1773 (green line on the chart). Take profit around the level of 1.1863.
  • Sell positions after the quote reaches the level of 1.1728 (red line on the chart). Breaking the weekly low and / or the escalation of the coronavirus situation within Europe could lead to another major fall in the euro. Take profit at the level of 1.1654.

Trading recommendations for the GBP / USD pair on September 22

Analysis of transactions

Another surge in COVID-19 cases, together with a high risk of another quarantine in the UK, led to large sell-offs in the British pound. As a result, quotes fell sharply after reaching the level of 1.2945.

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The upcoming speech of Fed chairman Jerome Powell will influence the sentiment of the market this week, which will most likely be in favor of dollar bulls. In addition, the deteriorating situation with Brexit, as well as intensifying incidence rate of coronavirus, will add serious pressure on the British pound.

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  • Buy positions when the quote reaches the level of 1.2814 (green line on the chart). Take profit around the level of 1.2877 (thicker green line on the chart).
  • Sell positions after the quote reaches 1.2771 (red line on the chart). Any negative news from the EU or related to Brexit will lead to much more pressure on the pound. Take profit at the level of 1.2716.
The material has been provided by InstaForex Company - www.instaforex.com