CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved.

EUR/USD and GBP/USD hold support as USD/JPY breaks higher

The euro and sterling are under pressure against the dollar, while the greenback rallies against the yen.

EUR/USD holds support and targets recent highs

EUR/USD has bounced from $1.078 again, as it did last week. It will be interesting to see if the pair can move above $1.088; rallies towards this level on 5 and 8 May became selling opportunities so buyers need to clear this to develop a longer-term move to the upside.

A drop below $1.078 opens the path to a bigger decline, although the late-April low at $1.073 might provide some hope of another holding action on the part of the bulls.

GBP/USD fights to hold $1.23

Here, too, GBP/USD is fighting to hold support for the second time in a week. In this case, $1.23 is the level to watch while bounces towards $1.24 would bring trendline resistance into play.

Near-term support levels to watch are $1.225 and $1.219, as the buyers attempt to stem any further downside.

USD/JPY builds on breakout

USD/JPY has staged a breakout from the bullish wedge in place since the beginning of April. This brings ¥111.00 into view, the highs from late March.

The more bullish view remains in place unless the price reverses back below ¥106.50.


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. 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. See full non-independent research disclaimer.

Start trading forex today

Find opportunity on the world’s most-traded – and most-volatile – financial market

  • Trade spreads from just 0.6 points on EUR/USD
  • Analyse with clear, fast charts
  • Speculate wherever you are with our intuitive mobile apps

See an FX opportunity?

Try a risk-free trade in your demo account, and see whether you’re onto something.

  • Log in to your demo
  • Take your position
  • See whether your hunch pays off

See an FX opportunity?

Don’t miss your chance – upgrade to a live account to take advantage.

  • Get spreads from just 0.6 points on popular pairs
  • Analyse and deal seamlessly on fast, intuitive charts
  • See and react to breaking news in-platform

See an FX opportunity?

Don’t miss your chance. Log in to take your position.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
liveprices.javascriptrequired
liveprices.javascriptrequired
liveprices.javascriptrequired

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

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.