EUR/USD, GBP/USD and AUD/USD expected to fall once again

EUR/USD, GBP/USD and AUD/USD regain ground, yet the bearish trend remains in play.

EUR/USD turning lower after deep retracement

EUR/USD gains seen this morning are starting to falter, following a rise into the 61.8% Fibonacci retracement level.

With that in mind, the downtrend seen throughout the past week looks likely to continue apace as long as the pair remains below the $1.0831 swing high.

GBP/USD expected to continue downtrend despite rebound

GBP/USD gains provided us with a higher low on Friday, weakening the wider bearish trend in play. However, despite that break it is likely we are going to see another leg lower before long, with the shallow rally seen this morning expected to represent a precursor to further downside.

Given the size of the wider downtrend, we would need to see a break through $1.2129 to bring about a bullish picture for this pair. Watch for a breakdown below $1.1555 to bring about a bearish confirmation signal.

AUD/USD rebound unlikely to last

AUD/USD has also seen some upside since Thursday's low.

We would need to see a break through the $0.6029 swing high to bring about a more bullish outlook for the pair, with the current consolidation likely to bring another leg lower. Watch for a break below $0.57 to confirm that bearish short-term outlook.

IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.

Please see important Research Disclaimer.

Start trading forex today

Trade the largest and most volatile financial market in the world.

  • Spreads start at just 0.6 points on EUR/USD
  • Analyse market movements with our essential selection of charts
  • Speculate from a range of platforms, including on mobile

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
liveprices.javascriptrequired
liveprices.javascriptrequired

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

liveprices.javascriptrequired

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Monday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.