GBP/USD rocked by parliament news, while EUR/USD and USD/JPY remain quiet
Reports of parliamentary manoeuvring have sparked volatility in GBP/USD, making up for a quiet session in EUR/USD and USD/JPY.
EUR/USD unable to rally
EUR/USD continued to retrace from its high at the beginning of the week, but also remains above $1.106 and the support zone that has held throughout August.
A short-term bounce today will challenge yesterday’s, around $1.1115. If this continues to hold then a more bearish picture may emerge. A move through this level would then open the way to $1.116 and the high from Monday. Further declines require a daily close below $1.106, which would put a much more bearish spin on the outlook.
GBP/USD volatile on parliament news
GBP/USD’s steady gains continue, as the price created another higher low and higher high in yesterday’s session.
This rally has been impressive, but it puts only a small dent in the losses of the past few months. On the daily chart, a turn back below $1.22 could well confirm that a lower high is in place. Any bounce from around $1.222 could provide another buying opportunity.
USD/JPY stuck below resistance
USD/JPY has failed to hold modest gains, with a descending triangle forming over the past few days.
A break above ¥106 would end this formation on the hourly chart, while further declines will test vital support around ¥105.
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.
Seize your opportunity
Deal on the world’s stock indices today.
- Trade on rising or falling markets
- Get one-point spreads on the FTSE 100
- Unrivalled 24-hour pricing
See opportunity on an index?
Try a risk-free trade in your demo account, and see whether you’re on to something.
- Log in to your demo
- Try a risk-free trade
- See whether your hunch pays off
See opportunity on an index?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from one point on the FTSE 100
- Trade more 24-hour indices than any other provider
- Analyse and deal seamlessly on smart, fast charts
See opportunity on an index?
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.
