EUR/USD, GBP/USD and AUD/USD fall into key support​

EUR/USD, GBP/USD and AUD/USD drift lower, yet key support levels stand between this consolidation and another sharp decline.

EUR/USD turning higher from trendline support

EUR/USD has declined into trendline support overnight, with the pair now beginning to gain ground once again. Yesterday's rally took the pair into the $1.1025 resistance level, providing two further touches before turning lower.

With the price having declined back into trendline support, the key signal we are looking for is a break through either the $1.1025 resistance level or below the $1.1007 support level. Given the wider trend, there is a strong likelihood that such a break will come to the downside. However, until that break happens there is also a good chance that we will begin to turn higher following this overnight pullback.

GBP/USD breaking lower, as polls begin to tighten

Tightening election polls have been driving GBP/USD lower, with the pair managing to break below the trendline support this morning. That points towards a likely break below the next support level of $1.2825, with 76.4% Fibonacci support below there.

Should we break both those levels, it would begin to look as if we are going to head into the $1.2769 region to negate the recent break through $1.2976.

AUD/USD consolidates after hitting key support

AUD/USD has declined back into the $0.6769 support level this week, with the pair fleetingly creating a new one-month low on Monday. The continued consolidation above that level highlights the need to await a breakout from this current zone.

A break through the $0.6799 resistance level would provide us with a bullish outlook, while a decline below $0.6769 would provide a bearish continuation signal.

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.