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CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved.

EUR/USD, GBP/USD and USD/CAD see dollar weakness​

Dollar under pressure amid sharp moves for EUR/USD, GBP/USD and USD/CAD.

Canadian dollar Source: Bloomberg

​EUR/USD rallies to complete double bottom

EUR/USD has managed to break through the crucial $1.1097 resistance level this week, completing a double bottom formation in the process. That signals further upside to come, with any short-term downside looking like a buying opportunity.

A decline below $1.1066 would negate this bullish view, but unless that happens, further upside seems likely before long.

EUR/USD chart Source: ProRealTime
EUR/USD chart Source: ProRealTime

GBP/USD surges into seven-month high

GBP/USD has resumed the upward surge seen in mid-October, with the break through $1.2976 ultimately providing us with a huge spike for the pound. This looks likely to persist unless we see a big shift towards the Labour Party.

With the current candle alluding to a potential short-term pullback, there is the chance we could see some profit-taking ahead of the weekend. However, any such weakness would be viewed as a precursor to further upside unless we decline below $1.2878.

GBP/USD chart Source: ProRealTime
GBP/USD chart Source: ProRealTime

USD/CAD slumps ahead of jobs report

USD/CAD has finally reversed lower to continue the long-term bearish picture for the pair. The decline below $1.319 signals that impending period of weakness, although the price appears to have stalled this morning.

With that in mind, watch for a break below $1.3158 to bring a renewed short-term bearish signal for the pair. Alternately, with both the Canadian and US jobs reports due today, we could see volatility in either direction. Should such a move come to the upside, it would be perceived as a selling opportunity unless the price breaks through the $1.3319 peak.

USD/CAD chart Source: ProRealTime
USD/CAD chart Source: ProRealTime

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