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.

FX levels to watch: EUR/USD, GBP/USD and USD/JPY

Dollar strength helping drive EUR/USD and GBP/USD lower, yet despite a BoJ rate cut, we have seen the yen outperform overnight.

EUR/USD breaking below Fibonacci support

EUR/USD has been declining throughout the past week, with the price falling below the 76.4% Fibonacci retracement level at $1.124.

The ability to remain below that support level will be key to building a more bearish picture. However, this could be an important turning point if we start to gain ground from here. Given the break through $1.142 last week, there is a good chance we are seeing a retracement before we push higher once more. Watch for a break through $1.1285 to provide greater confidence of a bullish move coming into play.

GBP/USD moves lower after failed indicative votes

GBP/USD has been moving lower in the wake of parliament failed attempt to find a solution to the ongoing Brexit impasse within yesterday’s indicative votes.

This break below $1.3159 points towards downside coming into play, with another higher high looking likely. Until the pair breaks through either $1.3004 or $1.327, it looks likely that we will continue to see price tighten as we await a breakthrough or breakdown in the Brexit outlook.

USD/JPY breaking lower despite BoJ rate cut

USD/JPY is looking set to continue the recent downtrend, with an overnight rate cut from the Bank of Japan (BoJ) doing little to devalue the yen.

Given the downtrend in place since the symmetrical triangle breakdown, this 76.4% retracement looks likely to bring another leg lower for the pair.

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

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. All share prices are delayed by at least 20 minutes. Prices are indicative only.

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.