EUR/USD, GBP/USD and USD/JPY under early pressure

The euro is faltering against the dollar, but against the yen the greenback is still in an uptrend.

EUR/USD weakens below resistance

Pre-European Central Bank (ECB) nerves are threatening to undermine the euro’s climb from last week’s lows. Gains stalled below $1.106 yesterday for EUR/USD, mirroring the price action from last Thursday.

A push below $1.101 would be a bearish signal and suggest a resumption of the ongoing downtrend. Further gains in this counter-trend move require a close above $1.108, indicating that the price has breached resistance and is poised to challenge $1.15 and then $1.125.

GBP/USD see-saws on Parliament news

Volatility reigns supreme in GBP/USD at present, but so far gains above $1.235 have proven impossible to sustain.

Yesterday’s dip below $1.225 found buyers, so a drop back below here is needed to provide a more bearish assessment, that might potentially result in a move back to $1.2. Above $1.238 the price will look to consolidate its newly-created higher high (relative to the late-August peak), and head towards the 100-day simple moving average (SMA) at $1.2533.

USD/JPY still in firm uptrend

The rally continues here, the USD/JPY pair having carved out a higher high yesterday.

The price is now above the 50-day SMA for the first time since the end of August. Continued gains target ¥109.00, but a pullback towards ¥106.50 would still see the pair hold rising trendline support from the 26 August low.

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

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.


Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Monday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.