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.

FX levels to watch: EUR/USD, GBP/USD and NZD/USD

The dollar is expected to regain ground as we head into the weekend, with EUR/USD, GBP/USD and NZD/USD all expected to turn lower in the near future.

EUR/USD expected to start fading before long

EUR/USD has managed to overcome the 61.8% Fibonacci retracement level, as it extends the rebound from trendline support last week.

A break through the $1.1419 peak would signal a wider bullish picture coming into play. Until then it looks likely we will see the pair turn lower once again, with the breakdown in the stochastic highlighting a bearish divergence developing. A break below the $1.1294 swing low would provide confirmation of that bearish picture coming into play. Otherwise, shorts look attractive closer towards the 76.4% retracement level.

GBP/USD threatening to retrace lower once more

GBP/USD has experienced a volatile week, with the pair breaking into a new higher high on Wednesday night, only to start turning lower.

We look likely to post another retracement phase from here, with a break below $1.3207 pointing towards a bearish short-term move as we retrace the rally from $1.3004. Look towards $1.3148 as the first notable level of support should that breakdown occur.

NZD/USD turning lower after another upward retracement

NZD/USD has been gaining ground overnight, following on from another leg lower on Thursday morning. The wider trend is a bearish one for this pair, with lower highs in place since the February peak.

Given the short-term and longer-term pictures of lower highs, it looks likely we will see the pair sell off from here, with a break through $0.6865 required to negate that bearish outlook.

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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.

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