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

Currencies continue to see relative quiet when compared to indices, but both the euro and sterling are in strong form.

EUR/USD
Source: Bloomberg

EUR/USD powers higher

So far this morning EUR/USD has managed to hold above the descending trendline from the February highs, having broken back above it last week.

Some selling pressure around $1.2388 is holding back further progress, but from here $1.2411 and then $1.2445 come into view. A drop below $1.2350 would suggest that the sellers are back in control.

GBP/USD looks for more gains

There was little stopping GBP/USD last week, and the price looks set to continue its ascent.

Thursday’s high at $1.4220 is the next target before the January peak at $1.4345. Dips towards $1.40 should continue to find buyers.

USD/JPY aims for a rebound

The downtrend reasserted itself last week, as USD/JPY turned lower from ¥106.50.

Any rebound that fails to move back above this level will likely be another selling opportunity. Previous support from ¥105.24–¥105.60 will now be resistance.

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