Murrey Math Lines 07.08.2023 (EURUSD, GBPUSD)

EURUSD, “Euro vs US Dollar”

EURUSD quotes have broken the 200-day Moving Average on H4 and are now below it, which indicates a potential downtrend. The RSI has rebounded from the resistance line. In this situation, a downward breakout of the support at 4/8 (1.0986) is expected, followed by a decline to the level of 2/8 (1.0864). The scenario can be cancelled by a breakout of the resistance at 5/8 (1.1074). In this case, the pair could rise to 6/8 (1.1108).

On M15, the price decline might be additionally supported by a breakout of the lower boundary of the VoltyChannel.

GBPUSD, “Great Britain Pound vs US Dollar”

GBPUSD quotes are below the 200-day Moving Average on H4, indicating a prevailing downtrend. The RSI has rebounded from the resistance line. In this situation, the price is expected to test the 0/8 (1.2695) level, break it, and fall to the support at -1/8 (1.2634). The scenario can be cancelled by an upward breakout of 1/8 (1.2756), which could help the pair reach the resistance at 2/8 (1.2817).

On M15, a breakout of the lower line of the VoltyChannel could increase the probability of a price drop.