CFDs are a leveraged product and can result in losses that exceed deposits. Trading CFDs may not be suitable for everyone, so please ensure you fully understand the risks and take care to manage your exposure.
Established in 1974
Over 185,000 clients worldwide
15,000 markets worldwide

FX levels to watch – EUR/USD, EUR/GBP and USD/JPY

The US dollar begins to look more bullish within EUR/USD and USD/JPY after Trump’s pro-dollar comments. Meanwhile, EUR/GBP begins to turn higher from channel support.

CFDs are a leveraged product and can result in losses that exceed deposits. Trading CFDs may not be suitable for everyone, so please ensure you fully understand the risks and take care to manage your exposure.
EUR/GBP
Source: Bloomberg

EUR/USD rally may not last

EUR/USD has managed to regain ground following a Trump-fueled sell-off yesterday. The break below $1.2384 brings about a heightened chance that we will begin to trend lower over the short term.

As such, the recent bullish outlook is tempered somewhat, with a strong chance that this morning’s gains are a retracement rather than a push into new highs. 

EUR/GBP rallies from crucial support zone

EUR/GBP has managed to rebound from the crucial £0.8689 support level, with the pair looking to continue trading within the descending channel formation.

Confirmation of a bullish outlook for the near term would come with a break through £0.8795 resistance. Until then, there is still a chance that we are looking at a retracement within the recent sell-off. 

USD/JPY shows initial signs of strength

USD/JPY managed to break through the ¥109.47 swing high yesterday, with the price gaining ground after US President Donald Trump’s comments.

This raises the chance that the price will move into a more bullish phase for the short term, with the near-term directional bias being dictated by a move below ¥108.50 (bearish) or above ¥109.77 (bullish).

This information has been prepared by IG, a trading name of IG 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. 

CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.