EUR/USD and GBP/USD weaker, while USD/JPY recovers

EUR/USD and GBP/USD are under pressure this morning, but USD/JPY has managed to push higher.

EUR/USD pauses after sudden drop

After Friday’s EUR/USD slump, all eyes will be on whether the euro can hold Friday’s low at $1.096. Below this, the $1.085 low from May 2017 comes into view.

On the hourly chart, rallies towards $1.106 may begin to run into resistance, and provide a potential selling opportunity in the near term. The early-August high around $1.12 provided another lower high in the ongoing downtrend that has been in place since January.

GBP/USD continues Friday weakness

A lower high has been created here, as GBP/USD retreats from last week’s high at $1.23.

A spike higher on Friday ran into selling, and the price is losing its grip on its early gains above $1.216 already. Further declines target the early-August low around $1.2015, with further intraday rallies like to provide further selling opportunities.

USD/JPY pushes upwards

USD/JPY continues to move steadily higher, with overnight weakness being followed up by small gains.

Thursday’s bounce ran out of steam at ¥106.70, where mid-August gains also faltered, so bulls need to break this level to confirm a bigger move higher is underway. A failure to move through here could see the price move back to ¥105.60 or even back to last week’s lows, below ¥105.00.

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
liveprices.javascriptrequired
liveprices.javascriptrequired

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

liveprices.javascriptrequired

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.