EUR/USD, GBP/USD and AUD/USD rebound towards resistance
EUR/USD, GBP/USD and AUD/USD rebound, but will this mark the beginning of a bullish phase or simply a precursor to another leg lower?
EUR/USD reverses higher after recent declines
EUR/USD is on the rise this morning, with a rally through $1.1239 providing a bullish signal for the pair. Coming off the back of a rally back into the $1.1353 level, there is a possibility that we are seeing the pair prepare for a bullish breakout through that key threshold.
For now, there is a strong chance we will see further upside as we build upon this bullish breakout. However, we will ultimately need to break that $1.1353 level to negate the notion that we are simply consolidating within a topping pattern over recent weeks.
GBP/USD reversing lower from Fibonacci resistance
GBP/USD has been on the rise since Fridays low of $1.2314, with price rising back into the 61.8% Fibonacci resistance zone. However, the short-term trend remains bearish unless we see a break through the $1.2437 swing high.
With that in mind, it makes sense to expect a bearish turn from either the 61.8% or 76.4% Fibonacci levels as the trend comes back into play.
AUD/USD rises towards key breakout level
AUD/USD has also been on the rise, following on from a decline into the 76.4% Fibonacci level on Friday night. The wider creation of higher lows points towards a potential rally back towards the $0.6974 region, with a rally through the $0.6895 required to signal that impending rally.
As such, watch out for whether we see that $0.6895 level broken as a precursor to further upside. The ability to break that level will tell us plenty about where we go from here.
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.
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. Please see important Research Disclaimer.
Please also note that the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.
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
See more forex live prices
See more shares live prices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
See more indices live prices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.
