EUR/USD, GBP/USD and USD/JPY seeing brief dollar strength
EUR/USD, GBP/USD and USD/JPY reverse recent trend, with risk-off moves starting to unwind.
EUR/USD eases back after yesterday’s rebound
EUR/USD began regaining ground yesterday, with the wider bullish trend in place since November expected to continue until we are shown otherwise.
For the time being, that means we are looking for a break back into the 1.1238 region. With that in mind, further upside looks likely unless we see a break below the 1.1125 support level.
GBP/USD pushes higher once again
GBP/USD looks set for another bullish session, with the pair building on yesterday's services PMI-led rebound.
That reading points towards a likely post-election economic recovery which should be pound positive. With that in mind, further upside looks likely from here, with a break through 1.3284 providing us with a strong signal that we are heading back towards the 1.3515 peak.
USD/JPY rise unlikely to last
USD/JPY has broken below a key area of support amid the recent risk-off move, with the uptrend seen through the second half of 2019 now broken.
With the price having dropped below the 108.42 and 108.25 swing lows, there is a strong chance that we will see another turn lower before long as we reverse more of that wider uptrend.
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