EUR/USD, GBP/USD and AUD/USD likely to continue uptrend despite wobbles
EUR/USD, GBP/USD and AUD/USD decline after recent gains, but will this provide another buying opportunity?
EUR/USD continues to grind higher
EUR/USD has consistently gained ground over the course of the week, with Tuesday and Wednesday seeing the best price action within that period. While we are still grinding higher, the momentum appears to be waning in what could a sign of a potential impending pullback. Such a move lower would likely take the form of a retracement back towards trendline support.
However, we would need to see a break below the $1.154 to signal such an event coming into play. With that in mind, such a pullback would simply look to provide a bullish buying signal, rather than a short-term selling opportunity. As such, the uptrend remains intact, with any break lower likely to bring another good buying opportunity. We would ultimately need to see the $1.137 level broken to bring about a wider bearish reversal signal.
GBP/USD continues to struggle in bid to break higher
Despite that, the overnight gains did take us back into Tuesday’s peak of $1.2768. Unfortunately, we are seeing that resistance level hold, with the price turning lower this morning. Ultimately, this consolidation phase looks set to continue until we see a break through $1.2768 (bullish), or $1.267 (bearish).
AUD/USD pullback could bring buying opportunity
AUD/USD has been moving lower since the Wednesday peak, with fears over the US-China relationship impacting the Australian dollar.
However, unless we see the $0.6963 level broken, this pullback could simply provide another buying opportunity. As such, while we could see further short-term downside, watch out for the bulls to potentially come back into play around trendline and Fibonacci support.
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