EUR/USD, GBP/USD and USD/CAD start to strengthen after recent losses
EUR/USD and GBP/USD losses ease, as USD/CAD starts to turn higher once more.
EUR/USD on the rise from long-term trendline
EUR/USD has started to regain ground over the course of this week, following on from a period of downside that took the pair into a long-term descending trendline.
That trendline points towards the possibility of a rebound in the near future, yet we still remain within a downtrend for now. A break through $1.1188 would see that short-term downtrend broken, yet until that happens, we could see another leg lower back into trendline support.
GBP/USD starts to stabilise after huge sell-off
We have seen the pair start to stabilise this morning, with tentative gains coming into play. Quite how far this will go remains to be seen, but it is likely that any such upside is a retracement before we sell-off once again. As such, should we break below $1.2119 after a minimal retracement, that would be seen as a good selling opportunity. Alternately, it is a case of seeing how this retracement plays out.
USD/CAD falls into Fibonacci support
USD/CAD fell sharply overnight, with the pair dropping into the 76.4% Fibonacci retracement level.
That pullback comes within a wider bullish trend over the past two weeks, bringing the opportunity to look for longs once again. A break below $1.3115 would negate this recent uptrend, yet a bullish outlook remains until then. A stochastic move through 20 would provide greater confidence that momentum is turning higher.
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