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

The dollar appears to be on the back foot once more, in a continuation of Friday’s NFP fuelled sell-off. However, with yet another Brexit poll pointing towards a gain for ‘leave’, it is not so simple for GBP/USD.

Euro and dollar notes
Source: Bloomberg

EUR/USD rally looks set to continue
The pair saw a major move higher on Friday following the weak NFP number out of the US. While we have seen a shallow pullback overnight, the pair is pushing on once more, with the ability to break through $1.1374 key to further gains.

As such, an hourly close above $1.1374 points towards the next resistance level at $1.1415. The bullish view would come into question with an hourly close below $1.1336.

GBP/USD recovering after Brexit poll sell-off
The pair has suffered a sharp sell-off at the open, as the latest Brexit polls came out in favour of the ‘leave’ campaign. However, crucially, we did not see the pair break through the $1.4333 support level, which would have completed a double top formation.

As such, the pair is rallying currently, with initial resistance levels at $1.4442 and $1.4473. Given the size of this sell-off and the importance of the 1.4333 support level, a bullish view is in play for the short-term. After that, it is a case of waiting for a break either below $1.4333 or above $1.4582 to re-establish the market direction given the current higher highs/lower lows scenario.

AUD/USD heading higher once more
​The pair seems to have bottomed out over the past few weeks, with Friday’s break higher running back into the key $0.7367 resistance from three weeks ago.

This level will be crucial once more today, where an hourly close above $0.7367 would point towards another leg higher for the pair. Should that occur, the next resistance level of note is found at $0.7402.

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. See full non-independent research disclaimer and quarterly summary.

CFD’s zijn complexe instrumenten en brengen vanwege het hefboomeffect een hoog risico mee van snel oplopende verliezen. 79% van de retailbeleggers lijdt verlies op de handel in CFD’s met deze aanbieder.
Het is belangrijk dat u goed begrijpt hoe CFD's werken en dat u nagaat of u zich het hoge risico op verlies kunt permitteren.
CFD’s zijn complexe instrumenten en brengen vanwege het hefboomeffect een hoog risico mee van snel oplopende verliezen.