EUR/USD and GBP/USD move higher as USD/JPY heads down
Dollar weakness continues to provide an opening for EUR/USD and GBP/USD to rally, as USD/JPY sustains further losses.
EUR/USD intraday higher high established
A short-term rebound continues to gather pace, with EUR/USD pushing back towards recent highs at $1.1374, having produced a higher high in early trading.
We look for a potential retracement towards $1.127 that will create a higher low for additional or new long positions, with this bullish view negated if the price drops back towards $1.124.
GBP/USD recovers to Friday peak
A more modest bounce here has seen GBP/USD return to the 26/29 November peak at $1.336.
Losses have stabilised for now around $1.33, although we have yet to see any bullish divergence on hourly stochastics. We look for a continuation of gains towards $1.339 and a new higher high, and await a possible higher low as a sign that the bullish view is gathering strength.
USD/JPY slumps below Friday low
The fall below the 26 November low hands the initiative to the sellers, with a USD/JPY bounce back towards ¥113.40 providing a lower high and a better risk-reward dynamic than at current levels.
A move back above ¥114.00 would be needed to put the buyers back in charge.
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
- Forex
- Shares
- Indices
See more forex live prices
See more shares live prices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
See more indices live prices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.
