EUR/USD and GBP/USD head lower as USD/JPY edges up
The euro and sterling are faltering against the dollar, while against the yen the greenback is making gains.
EUR/USD stalls at $1.19
EUR/USD's bounce from the lows of August have stalled at $1.19, with Friday’s rally to this level encountering pushback.
The drop over the past 24 hours is only modest, and indeed stochastics and the moving average convergence/divergence (MACD) have yet to roll over, but further declines towards $1.18 will reinforce the bearish view. Bulls will want to see a recovery above $1.188 to allay concerns that a turn lower is beginning.
GBP/USD turns lower
Here too with GBP/USD, it looks like a lower high could be in play, as the price reverses towards $1.38 after gaining since late August
Confirmation will come with a move below $1.375, while buyers will want to see $1.385 recovered to put the price back on an upward footing.
USD/JPY makes gains
After struggling to make headway last week, USD/JPY has continued to hold ¥109.50, holding trendline support from the August low, and pushing towards ¥110.00, the area where gains have stalled of late.
Continued adherence to trendline support suggests that the buyers remain in charge, a scenario which remains the case unless we see a drop below ¥109.50.
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