EUR/USD, GBP/USD, and NZD/USD start to roll over amid US dollar strength
EUR/USD, GBP/USD, and NZD/USD start to roll over, with wider consolidation patterns signalling high likehood we will reverse lower from here.
EUR/USD rolls over, as range reversal comes into play
EUR/USD has seen sharp declines overnight, with the US dollar gaining prominence in a risk-off environment. The range seen over the past two months highlights the high likeliness that we are looking at a continuation of this consolidation phase.
As such, further downside looks likely for the days ahead, with the pair likely to start heading back towards the lower end of this range. This bearish outlook is in play until we see the $1.1019 resistance level broken.
GBP/USD turning lower after recent rebound
GBP/USD is breaking lower following a 38.2% Fibonacci retracement in the early part of the week.
The decline below $1.247 and $1.2166 earlier in the month did provide us with a bearish breakdown signal, with that sell-off now seemingly coming back into play. With that in mind, we look set for further downside from here, with a break through $1.2247 required to bring expectations of a wider rebound.
NZD/USD rolls over from key resistance
NZD/USD gains have taken the pair into the key $0.6156-$0.6176 resistance zone earlier in the week.
However, with the pair turning lower from that $0.6156 level, there is a growing likeliness that we are looking at yet another bearish phase to continue the consolidation we have seen since early April. With that in mind, a bearish outlook is in play here, with a break through the $0.6176 level required to bring a more bullish view.
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