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.
EUR/USD begins to trend higher
EUR/USD's retracement seen since Thursday’s European Central Bank rally appears to be over, with price rising back through $1.0833 and pushing higher once more this morning.
Given the move back above the $1.0869 resistance level, further gains seem likely unless price moves back below $1.0833.
With price currently forming a doji and stochastic well overbought, there is a potential for a short-term retracement, yet this is likely to be temporary.
Key resistance levels are $1.0886, $1.0897, $1.0950 and $1.0981. A closed candle below $1.0833 would bring support levels of $1.0808 and $1.0795 into view.