FX levels to watch: EUR/USD, GBP/USD and NZD/USD
Dollar strength sends EUR/USD, GBP/USD, and NZD/USD lower, with crucial support levels in sight.
EUR/USD breakdown looks likely to continue
EUR/USD has been consolidating off the back of a Fibonacci breakdown, with the ascending triangle formation looking likely to give way to further downside.
Watch for a break below $1.1220 as a signal of an impending short-term sell-off in the pair.
GBP/USD breaks towards crucial support level
GBP/USD has continued its downside momentum, with the pair moving into a crucial $1.3004 support level. Given the creation of lower highs over the past two months, a break below this level would provide a more bearish outlook for the pair.
However, be aware that the importance of this level raises the chance of a possible rebound, with traders keeping an eye out for today’s meaningful vote as a driver of market direction.
NZD/USD declines into deep retracement
NZD/USD has been slowing its ascent since the sharp decline back on Wednesday.
The ability to stay above $0.6745 is key here, with a break below that level providing a wider bearish outlook for the pair. Until then, there is a chance the trend of higher lows will kick in once again. Watch for a break through the $0.6828 swing high to confirm a bullish outlook.
This information has been prepared by IG, a trading name of IG Markets Limited. 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.
Start trading forex today
Trade the largest and most volatile financial market in the world.
- Spreads start at just 0.6 points on EUR/USD
- Analyse market movements with our essential selection of charts
- Speculate from a range of platforms, including on mobile
Live prices on most popular markets