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CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved.

FX levels to watch – EUR/USD and GBP/USD

EUR/USD and GBP/USD are selling off from key resistance levels, with both pairs hitting a crucial level of support. A break below there would signal a strong potential of further downside for both pairs.

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EUR/USD drops into key support level

EUR/USD has been selling off sharply from the $1.1745 support level this morning, with the price approaching the crucial $1.1620 level.

This represents an important breakout point, below which we would be looking likely to see further downside come into play. However, until then, there is a good chance we could see a rebound to continue the triangle that has been in play over the past month.

GBP/USD breaking below crucial support level

GBP/USD has dropped below the $1.3083 support level, as the pair looks likely to pave the way for further downside. The previous respect at the 76.4% retracement last week seems to have drawn a line under (or above) recent gains, with a break below this $1.3071-$1.3083 area key to seeing that come through.

As such, look out for whether we can see a break below the support zone. An hourly close below there would point towards further downside to come.

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