EUR/USD falls back as GBP/USD moves higher, while USD/JPY holds steady
EUR/USD is heading back to trendline support, while the pound has made some gains against the dollar following UK CPI figures.
EUR/USD falters after gains
EUR/USD has returning to trendline support, holding above the 50-day simple moving averages (SMA) for now.
This week’s reversal, accompanied by a potential bearish moving average convergence/divergence (MACD) crossover, points towards a lower high that revives the downtrend of the past year.If the price breaks below $1.13 the bearish view will be strengthened once again, and the price could head back towards $1.1186. A bounce from the 50-day SMA would head back towards $1.14.
GBP/USD moves up after losses
After reversing for three days the GBP/USD price has edged up, but short-term decline remains in place.
A reversal back above $1.362 would mark a short-term break to the upside, targeting the previous lower highs at $1.366 and $1.368. Further declines would bring $1.358 into view, and potentially mark a continuation of the downtrend seen since the end of last week.
USD/JPY stalled after volatile Tuesday
The expected rebound has not yet materialised, with sellers hitting the USD/JPY (大口） price to stall any further progress. The price is stalled at present, but continues to hold above the 50-day SMA (¥114.34).
For now the outlook is neutral, with a move back above ¥115.00 likely to revive the bullish view. Meanwhile a more bearish view would develop with a drop below ¥114.00, although even then Friday’s low at ¥113.48 would still need to be broken to open the path to more downside.
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