FX levels to watch

Cable has seen momentum stall, while the drop in risk appetite has hit AUD/USD. 

GBP/USD forex pair
Source: Bloomberg

GBP/USD support may give way
Yesterday's price action saw the pair drop back from the $1.43 level, with bullish momentum evaporating. Support at $1.42 could quickly give way to $1.4172, and then down towards $1.4120. 

A firm close lower today would put the pair back on course for the lows of last week around $1.4080. Bulls need to get the pair back above $1.43. 

EUR/USD gains undone
Steady gains yesterday undid some of the post-European Central Bank move lower at the end of last week but the pair is still stuck below the 200-hour simple moving average at $1.0876.

A push through here would head towards $1.09 and then on towards $1.0942 and $1.10. Meanwhile support on the downside is found around $1.0810 and then $1.0780.

AUD/USD buyers under pressure
A sharp reversal yesterday has put the buyers on the back foot, with sellers now targeting levels around $0.6906 and then $0.6874. Below here the pair heads towards the lows of the month towards $0.6813, while buyers will want to see a move back above $0.6970 to suggest some degree of upward momentum

The rally off ¥117 appears to have run its course for now, although if the pair can hold above ¥117.30 there may be hope of a rebound back towards ¥118.9.

If ¥117.30 is broken then the area around ¥116, the lows of last week and just below the August lows, comes into view. 

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