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

Dollar strength appears to be abating, with gains for cable and the Aussie.

Australian dollar (AUD)
Source: Bloomberg

EUR/USD fights to create a new high

The rally from last week’s lows goes on for EUR/USD, with the potential for further gains should the price move on above $1.1790.

A close above here targets $1.1830, and then on to $1.1880, but a turn lower would reignite the downward move and head towards $1.1662.

GBP/USD maintains its upward move

GBP/USD has solidified its gains from yesterday and is pushing higher. We still need to see a move above $1.33 to create a new higher high in the downtrend off the September highs, but for now the buyers appear to be in charge.

Above $1.33, the $1.3427 and then $1.36 levels come into play.  A turn lower back below $1.3050 would suggest a drop to the late August low at $1.29.

AUD/USD holding key support

AUD/USD has bounced off the $0.7748 level that was major resistance back in the first quarter (Q1). If it holds this level, the next area to watch is $0.7877, which is the high from last week.

A move above here would cement the idea that the drop from the August highs has run its course. A close below $0.7748 would suggest a bigger drop to $0.7713 and then $0.7641. 

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.