EUR/USD, GBP/USD and USD/CAD start to strengthen after recent losses
EUR/USD and GBP/USD losses ease, as USD/CAD starts to turn higher once more.
EUR/USD on the rise from long-term trendline
EUR/USD has started to regain ground over the course of this week, following on from a period of downside that took the pair into a long-term descending trendline.
That trendline points towards the possibility of a rebound in the near future, yet we still remain within a downtrend for now. A break through $1.1188 would see that short-term downtrend broken, yet until that happens, we could see another leg lower back into trendline support.
GBP/USD starts to stabilise after huge sell-off
We have seen the pair start to stabilise this morning, with tentative gains coming into play. Quite how far this will go remains to be seen, but it is likely that any such upside is a retracement before we sell-off once again. As such, should we break below $1.2119 after a minimal retracement, that would be seen as a good selling opportunity. Alternately, it is a case of seeing how this retracement plays out.
USD/CAD falls into Fibonacci support
USD/CAD fell sharply overnight, with the pair dropping into the 76.4% Fibonacci retracement level.
That pullback comes within a wider bullish trend over the past two weeks, bringing the opportunity to look for longs once again. A break below $1.3115 would negate this recent uptrend, yet a bullish outlook remains until then. A stochastic move through 20 would provide greater confidence that momentum is turning higher.
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