FX levels to watch: EUR/USD, GBP/USD and USD/JPY
The dollar is still in the ascendancy, with EUR/USD under pressure and sellers driving down cable ahead of the BoE.
EUR/USD heading towards key support
EUR/USD continues to fall, with a relentless move lower over the past four days.
The price is now below the 50-day simple moving average (SMA), and further declines target the $1.13 level, previously support in late January. Aside from the mid-November spike lower. This has held as strong support since late October. The bearish view persists unless we see a move back above $1.144.
GBP/USD under pressure ahead of BoE
The downward move for GBP/USD continues here, as the attempt at a bounce yesterday fizzled just above $1.295.
Any short-term bounce that fails to clear $1.295 remains another selling opportunity.
USD/JPY looking to break higher
Attempts to break above ¥110.00 have been fruitless so far for USD/JPY, but rising trendline support from the 31 January lows means we have an ascending triangle pattern in play.
A break higher targets ¥111.36, while a bearish view targeting ¥108.60 would require a break below ¥109.70.
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