EUR/USD, GBP/USD and USD/JPY all on the up
Major FX pairs are seeing a recovery in risk appetite, as investors look for opportunity as coronavirus fears recede.
EUR/USD finally breaking higher?
The EUR/USD has edged lower over the past two sessions, but may finally be pushing higher, as it breaks out of a triangle formation.
The next target to the upside would be $1.11, while a reversal below $1.103 would suggest that the sellers are back in charge, and will retest the crucial $1.10 area of support.
GBP/USD stages recovery
GBP/USD recovered from Monday’s heavy losses and has steadily pushed higher since then.
A renewed attempt to clear trendline resistance from the late-December high is underway, as the price targets $1.313. A bearish view requires a close below $1.295, something that has been staunchly resisted over the past month.
USD/JPY surges along with equities
The rebound in risk appetite has been seen in USD/JPY as well.
The pair has surged through the ¥109.30 zone, the previous lower high at the end of January and has also rebounded off the 200-day simple moving average (SMA) of ¥108.40. Further gains target ¥110.00, and then ¥110.30, the former being trendline resistance and the latter being the mid-January peak.
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
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.