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

Talk of potential hints about monetary policy from Janet Yellen later in the week has given the dollar breathing space in recent days, but that appears to be reversing this morning. 

Euro and dollar notes
Source: Bloomberg

GBP/USD moves higher
Cable continues to enjoy gains, even if the longer-term picture still sees the pair stuck in its post-Brexit range. Early August’s highs of around $1.3370 would be the area to see some potential resistance, while selling into strength would appear to remain the default approach here.

The downside target remains the $1.2880 area, where the pair rallied in early July, and last week.

EUR/USD on upwards move
A turnaround yesterday saw the pair move back above $1.13, and fresh gains today may see a move through last week’s high of around $1.1370.

Above here, the next resistance level to come into play would be $1.14, where June gains ran out of steam, while above here we would look towards $1.15.

A strong performance in August has reinvigorated the 2016 uptrend, so dip buying remains the approach here. 

AUD/USD continues uptrend
A modest pullback over the past two weeks for the pair does little to put a real dent in the uptrend that has prevailed since the last quarter of 2015.

The recovery above $0.76 might suggest that the buyers are back in charge, although they would then need to clear $0.77, where gains petered out earlier in the month. 

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.