EUR/USD comes under pressure as GBP/USD and USD/JPY recover

The euro has failed to make much headway against the dollar, but both sterling and yen have advanced over the past two sessions.

EUR/USD stuck below resistance

While EUR/USD has managed to stop the downward move of last week, it has been unable to break through the $1.185 zone of resistance.

However, with a higher low yesterday there is still scope for a break higher, which would in due course target $1.196. A reversal below $1.178 would negate this view and open the way to $1.171.

GBP/USD targets $1.325

Here the GBP/USD has managed to rally throughout the week, putting it on course to target the $1.325 zone that marked the highs last week.

This impressive recovery revives the more bullish view, although a break out above last week’s highs is still needed to cement this view. For now bears seem to be out of luck, unless we see a reversal that wipes out the gains of the week so far and then breaches $1.305 to the downside.

USD/JPY remains in rising channel

The USD/JPY price continues to adhere to a rising channel, having completed a retracement from the highs seen on Tuesday.

A continued rebound raises the prospect of a move back towards ¥106.60, and then to ¥106.80, and the upper bound of the channel. A drop below ¥105.70 would potentially mark the end of this bullish view and open the way to further downside.


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

Live prices on most popular markets

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

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.