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

EUR/USD, GBP/USD and USD/JPY all attempt to rebound from key support levels. With the dollar looking to rebound, could we see the greenback soon gain across the board?

Will EUR/USD rebound once more?

EUR/USD is attempting to break higher once again, following a pullback since Thursday’s top. The rally through $1.1812 last week points towards a possible resurgence, given the failure to break below the crucial $1.1713 support level.

That $1.1812 level is now the most recent swing high from Friday, which if broken, would lead to a renewed bullish outlook. Until then, there is a chance we could continue on the shorter-term creation of lower highs and lower lows seen since Thursday’s high of $1.1863.

GBP/USD regaining ground from support zone

GBP/USD has started to move higher, following a fall back into the $1.3300-$1.3320 support zone.

With the pair rallying since, it looks like we could be retracing yet again, with another lower looking likely. As long as the price does not break above $1.3467, a bearish outlook is in place.

USD/JPY bounces from key support level

USD/JPY managed to rebound from a key support zone, with the price rallying towards the ¥112.88 swing high. The wider picture points towards a potential head and shoulders coming into play, which would be activated with a break below ¥112.04.

The ability to break above ¥112.88 is key for the short term, as this would point towards a possible deeper retracement of the wider ¥113.75-¥112.04 sell-off. Until then, there is a good chance we could move lower from here. Remember, the price must break below ¥112.04 to bring a longer-term bearish outlook.

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