CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure. CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure.

EUR/USD, GBP/USD, and AUD/USD rise unlikely to last

Dollar gains take a breather, yet this greenback strength looks likely to further hurt EUR/USD, GBP/USD and AUD/USD.

EUR/USD turning lower to build on head and shoulders break

EUR/USD managed to break through the $1.2059 head and shoulders neckline yesterday, bringing a fresh bearish signal for the pair. While we saw some upside overnight, there is a strong chance we are on the cusp of another leg lower here.

While a break up through $1.2087 would weaken the bearish story somewhat, we would need to see the $1.2156 swing high broken to negate the current bearish outlook for the pair. Until then, further downside looks likely with a decline through $1.2011 bringing further confidence that this is not a fake-out scenario.

GBP/USD breakdown brings potential reversal signal

GBP/USD fell through trendline support yesterday, bringing price back into the $1.3609 swing low. That raises questions over whether this trend is going to continue apace or start to reverse. With the pair regaining ground this morning, there is still a chance we will continue to move higher here.

However, it makes sense to watch for a break through $1.371 and even $1.3758 to negate this latest breakdown. Nevertheless, until that upside break occurs, there is a chance we are priming for another turn lower here. As such, watch out for a potential bearish move here, with a break below $1.3609 solidifying this bearish outlook.

AUD/USD rally provides potential selling opportunity

AUD/USD is ahead of the curve on the selling front, with the pair already having hit a fresh 2021 low this week.

While price is on the rise this morning, we have trendline resistance up ahead that could limit these gains. A break up through the $0.7704 swing high negates this bearish outlook, yet it makes sense to look out for further downside until that break occurs.

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.

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
  • Try a risk-free trade
  • 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

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Friday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.