CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Please ensure you fully understand the risks involved. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Please ensure you fully understand the risks involved.

EUR/USD and GBP/USD edge back as USD/JPY rebounds for now

Some dollar strength has lifted USD/JPY while pushing EUR/USD and GBP/USD back down.

EUR/USD recovery falters

EUR/USD's push higher has suffered a modest reverse, dropping back below the 50-day simple moving average (SMA) of $1.1803 after moving above it at the end of last week.

However, the broader rally from the lows is still intact, so we look for a recovery from an intraday higher low that will carry the price back towards Friday’s highs and then target $1.19. A bigger reversal below $1.17 would begin to suggest that a new downward move is in play.

GBP/USD steadies after strong rally

GBP/USD moved steadily higher last week and into Monday’s session, but is seeing some short-term weakness today.

However, dips over recent sessions have been buying opportunities so we look to see if today’s weakness goes the same way. Further gains target $1.32 and higher, and it will require a drop below $1.293 to breach rising trendline support from the September low.

USD/JPY edges up after losses

For the USD/JPY pair, we will see if the dollar bulls can re-establish some control after two sharp down days.

Having dropped below the 50-day SMA (¥105.78) and seen daily stochastics roll over, it will be interesting to see if the pair creates an intraday lower high and then continues to fall, perhaps testing ¥105.00 and lower.

This information has been prepared by IG, a trading name of IG Australia Pty Ltd. 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.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

See more forex live prices


See more shares live prices


See more indices live prices

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.