FX levels to watch – EUR/USD, GBP/USD, USD/JPY

USD strength has seen falls for EUR/USD and GBP/USD this morning, but USD/JPY is sounding a possible alarm.

EUR/USD falters near September high

EUR/USD tried to break above the September high last week, but has turned lower.

Since November we have seen a sequence of higher highs and higher lows, so any pullback that holds above $1.1715 remains a potential buying opportunity. Above $1.2092, $1.2247 and then $1.2298 come into play as targets.

GBP/USD still pushing higher

GBP/USD continues to record higher lows in its steady rally from last March. Any pullback that stays above $1.33 constitutes another such higher low, and thus a possible buying opportunity.

The push last week above the December highs helps to burnish the uptrend’s credentials, so further gains above the recent $1.36 high will target $1.3659, the peak from September.

USD/JPY downtrend revives

If USD/JPY turns lower from current levels it will record a new lower high in the downtrend from the November high.

We could see ¥112.00 come back into view, being a key level of support since early December. Above ¥113.50, the ¥113.64, ¥113.75 and then ¥114.37 come into play. 

The information 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 Bank S.A. 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 and as such is considered to be a marketing communication.