EUR/USD, GBP/USD and USD/JPY expecting further dollar strength
Dollar strength looks likely to take hold yet again for EUR/USD, GBP/USD, and USD/JPY.
EUR/USD turning lower from key resistance
EUR/USD has managed to rise back into the $1.1754 resistance level, which represents both the prior support levels from August and September, alongside yesterday's peak.
The topping pattern seen over the course of recent weeks looks to have set us on a more bearish course, and thus we are likely to see further losses take shape before long. As such, a bearish outlook is in play here, with a rise through the $1.1872 level required to negate that view.
GBP/USD rallies back into 76.4% Fibonacci level
GBP/USD has rallied back into the 76.4% Fibonacci retracement level this morning, following on from yesterday's decline from that same level.
With the pair weakening once again, the downtrend looks likely to kick in once again. A break back below yesterday's low of $1.2805 would bring greater confidence of a move back towards the $1.2673 low. Ultimately we would need to see $1.3007 broken to negate this bearish outlook.
USD/JPY turning higher after recent pullback
USD/JPY is once again turning higher, with the recent uptrend looking set to continue.
With a wider bearish trend likely to come back into play at some point, the 76.4% Fibonacci resistance level at ¥105.95 will be a notable level of resistance that could cap further gains. However, we ultimately need to see the intraday trend of higher lows negated to bring a bearish outlook once more. That means a bullish view holds unless price drops below the ¥105.26 level.
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.