Skip to content

We want to clarify that IG International does not have an official Line account at this time. We have not established any official presence on Line messaging platform. Therefore, any accounts claiming to represent IG International on Line are unauthorized and should be considered as fake.
CFDs are complex instruments. 72% of retail client accounts lose money when trading CFDs, with this investment provider. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.
CFDs are complex instruments. 72% of retail client accounts lose money when trading CFDs, with this investment provider. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.

​​​​EUR/USD and GBP/USD fall back as dollar rises while EUR/JPY keeps rising​​​​

​​The dollar is rising and putting pressure on the euro and sterling, while the euro continues to rise against the yen. ​

Trader Source: Bloomberg

​​​EUR/USD in retreat as dollar strengthens

EUR/USD decline continues apace, with more selling on Tuesday as the dollar strengthened and US yields rose.

​The 200-day simple moving average (SMA) has now been firmly breached, and it would take a major effort from the buyers to reverse this developing bearish outlook, ideally with a close back above $1.08.

​Further declines target the May lows around $1.067, and then down to the lows of February at $1.0536.

EUR/USD chart Source: ProRealTime
EUR/USD chart Source: ProRealTime

​GBP/USD comes under pressure

​This GBP/USD uptrend still could be described as ‘intact’, though it has taken a battering since the July peak around $1.31.

​So far, the rallies do not appear to be sustainable, which puts a move back to the $1.24 level in view, and would also see the price test the 200-day SMA. A lower high below $1.27 bolsters the bearish view.

​It would need a close back above $1.27, and ideally above $1.28, to suggest that the buyers have reasserted control.

GDP/USD chart Source: ProRealTime
GDP/USD chart Source: ProRealTime

​EUR/JPY still in uptrend

​While the euro suffers against the dollar, it remains on top against the yen.

​Recent weakness with EUR/JPY has seen selling run out of momentum around the 50-day SMA, leaving the short-term uptrend from the July lows intact. Momentum has slowed but the overall move higher is still in place, and a new attempt to clear the August highs just below ¥160.00 seems likely.

​A close below ¥157.00 could indicate a fresh bout of short-term weakness, but a much bigger drop would be needed to put a real dent in the bullish view.

EUR/JPY chart Source: ProRealTime
EUR/JPY chart Source: ProRealTime

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material 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 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. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research 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.

Start trading forex today

Trade the largest and most volatile financial market in the world.

  • Spreads start at just 0.6 points on EUR/USD
  • Analyse market movements with our essential selection of charts
  • Speculate from a range of platforms, including on mobile

Find out more

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

You might be interested in…

<h3>How much does trading cost?</h3>
<h3>Find out about IG</h3>
<h3>Plan your trading</h3>

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.