EUR/USD, GBP/USD and AUD/USD start to regain ground
EUR/USD, GBP/USD and AUD/USD start to regain ground, yet we are yet to see a major break to signal a wider bullish picture coming into play.
EUR/USD decline slows, reversal signal is yet to come
EUR/USD has managed to arrest the decline seen throughout the first 11 days of February, with the price rising through trendline resistance. That break occurred by simply consolidating rather than actually pushing sharply higher through that trendline.
With that in mind, any bullish connotations should be taken with a pinch of salt. Instead, we want to see a rise through the $1.0957 swing high to bring about a more reliable bullish signal for the pair. Until then, there is a good chance we are simply retracing once again as a precursor to further downside.
GBP/USD looks primed for bullish phase
GBP/USD has seemingly turned around, following some relatively encouraging UK data yesterday. The rise through $1.2959 provides us with a break from the recent trend of lower highs, signalling a likely bullish phase coming into play from here.
While the price has been consolidating overnight, it looks likely we will see the price move higher today. A break below $1.2894 would be required to negate this bullish short-term outlook.
AUD/USD breaks into Fibonacci retracement zone
AUD/USD has been regaining ground after a decline into the crucial $0.6671 long-term support level. We have since seen a rally through trendline resistance, as seen on the four-hour chart below.
However, the downtrend remains intact unless we see a rally through the $0.6774 swing high. Until then, there is a chance we will see the pair turn lower from the deep retracement zone between the 61.8% and 76.4% Fibonacci levels ($0.6731-$0.6747).
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