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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.

Dollar strength boosts USD/JPY, while hitting EUR/USD and GBP/USD again

Renewed strength in the dollar has boosted USD/JPY, but the euro and sterling continue to struggle against the greenback.

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EUR/USD retreat from lower high goes on

The 50-day simple moving (SMA) continues to act as a powerful barrier to any upward progress for EUR/USD.

The pair had rebounded from the September low, and seemed set to test parity, but the resurgence of the US dollar last week has meant that, once again, a lower high has been created, and the pair is now heading back to those September lows below $0.96.

Selling the rallies continues to be the approach here, and the sellers are firmly back in charge after the latest brief bounce.

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

GBP/USD eats away at September rebound

Sterling’s latest bounce against the dollar appears to be well and truly over, and GBP/USD is again making progress in the direction of parity.

The slump and rebound to September lows was more extreme here than for EUR/USD, but the general outlook remains the same.

After rallying to just below $1.15, the pair has turned lower once again. A reviving US dollar has resulted in the creation of a lower high and a reaffirmation of the downtrend. Any bullish view for the near term has been cancelled out following the reversal of last week.

Additional declines will see the price head back towards $1.05 and lower, the record lows for the pair.

GBP/USD chart Source: ProRealTime
GBP/USD chart Source: ProRealTime

USD/JPY pushes on above ¥145.00

Last week’s non-farm payroll report provided USD/JPY with the catalyst to move on above ¥145.00, although it has been a rather circumspect move.

Nonetheless the pair has created a new higher high, with ¥146.75 the next target to watch to the upside. We have seen the uptrend revive in recent sessions, and the consolidation of mid-September has given way to further gains.

USD/JPY chart Source: ProRealTime
USD/JPY chart Source: ProRealTime

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