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

Currencies continue to see relative quiet when compared to indices, but both the euro and sterling are in strong form.

EUR/USD
Source: Bloomberg

EUR/USD powers higher

So far this morning EUR/USD has managed to hold above the descending trendline from the February highs, having broken back above it last week.

Some selling pressure around $1.2388 is holding back further progress, but from here $1.2411 and then $1.2445 come into view. A drop below $1.2350 would suggest that the sellers are back in control.

EUR/USD price chart

GBP/USD looks for more gains

There was little stopping GBP/USD last week, and the price looks set to continue its ascent.

Thursday’s high at $1.4220 is the next target before the January peak at $1.4345. Dips towards $1.40 should continue to find buyers.

GBP/USD price chart

USD/JPY aims for a rebound

The downtrend reasserted itself last week, as USD/JPY turned lower from ¥106.50.

Any rebound that fails to move back above this level will likely be another selling opportunity. Previous support from ¥105.24–¥105.60 will now be resistance.

USD/JPY price chart

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.