EUR/USD steady ahead of ECB, while GBP/USD holds up well and USD/JPY stabilises
After the Fed decision last night we have seen the dollar weaken, but all eyes are now on the ECB meeting.
EUR/USD above $1.10 ahead of ECB meeting
The pair EUR/USD surged to a one-week high last night, but pre-ECB nerves have held back further progress.
However the overall uptrend remains intact, and recent price action has supported the bullish view, with dips still being bought, even as momentum has slowed.
With the price remaining above the 50-day simple moving average (SMA) and the 100-day SMA the near-term bullish view prevails. Some volatility is to be expected around the European Central Bank (ECB) meeting today, but it would need a move below $1.09 to suggest that a reversal is at play.
GBP/USD back at 2023 highs
Dollar weakness has driven fresh gains in the pair GBP/USD, reviving the uptrend.
As with EUR/USD, there has been only short-term weakness in recent weeks, with dips being met with buying pressure and supporting near-term upside.
A more bearish view would require a break of these intraday higher lows seen since mid-March, and a move back below $1.23.
USD/JPY edges up after sharp losses
After two days of losses in the pair USD/JPY the price has stabilised, with the recent run of higher lows still in place.
A move below ¥133.00 would put a dent in this view and flag a possible move back towards ¥130.00 or lower.
A revival back above ¥135.00 would support the bullish view and indicate a potential move back to the 200-day SMA and even higher over time.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
Start trading forex today
Find opportunity on the world’s most-traded – and most-volatile – financial market.
- Trade spreads from just 0.6 points on EUR/USD
- Analyse with clear, fast charts
- Speculate wherever you are with our intuitive mobile apps
See an FX opportunity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Take your position
- See whether your hunch pays off
See an FX opportunity?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from just 0.6 points on popular pairs
- Analyse and deal seamlessly on fast, intuitive charts
- See and react to breaking news in-platform
See an FX opportunity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Equities
- Indices
- Forex
- Commodities
Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.