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

All eyes will be on sterling today as ‘Super Thursday’ arrives, which should see plenty of volatility in cable.

Pound coin and dollar notes
Source: Bloomberg

GBP/USD likely to see strong volatility
Trading this pair ahead of Super Thursday may not be the wisest move, but it is clear that the $1.44 level remains key support. A break below there may find it hard to get traction, given that the 100-day simple moving average (SMA) and 50-day SMAs lie just beneath it.

If downward momentum does gain traction then the next area to watch will be the rising support line off the February lows, which would suggest buying pressure around $1.4260. Any rally needs to clear $1.4537 in the first instance. 

EUR/USD looks to move higher
The pair’s stabilisation above $1.14 and the fact that it held above the key $1.1387 area suggests that we could be seeing the beginning of a turn higher.

Further gains today would head towards $1.1552 over the near-term, and then on towards the August peak at $1.17. It would take a close below $1.1340 to negate the current outlook. 

AUD/USD looks to rebound
Risk appetite looks shaken at present, but if indices recover and the US dollar eases off, we could see this pair rebound. The $0.73 area has held over the past few days, so this should be considered the downside area to watch, while a breakout needs to push on beyond $0.74 in the first instance, and then on towards the weekly pivot at $0.7475. 

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