GBP/USD heading into Fibonacci support
GBP/USD is similarly heading lower, as a dollar strength story continues to dominate the FX space. The weakness we are continuing to see in play here is an extension of a double top formation completed three weeks ago.
To the downside, watch out for the 76.4% Fibonacci support level at $1.3354. However, as long as we continue to create lower highs and lows on an intraday basis, a bearish outlook remains in play. As such, watch for a break above $1.3492 as a signal that this short-term downtrend is coming under pressure.
AUD/USD pullback looks like potential retracement
AUD/USD has been turning lower since US President Donald Trump threw doubt over the presumption that recent statements from the US and China marked the end of trade war fears. The subsequent pullback could be a retracement given the recent gains seen of late.
However, with the price currently at the 50% level, there is a good chance of further downside in the near term. However, until we break below $0.7447 this period of downside looks like a retracement before we see the price turn higher once more. As such, look out for possible buying opportunities at the 61.8% and 76.4% levels.