EUR/USD rallies, while GBP/USD holds steady and USD/JPY drops
The euro has rallied through resistance in early trading, while cable has found support once again at $1.22.
Is EUR/USD showing signs of life?
The EUR/USD pair has pushed higher in early trading, moving above $1.100 and showing notable bullish momentum.
A close above $1.100 helps to provide a more bullish view in the near term, targeting $1.109 and the September high. Short-term weakness towards $1.097 may provide another buying opportunity.
GBP/USD holds at $1.22
While the GBP/USD pair has come under heavy pressure this week, it has managed to hold $1.22, the lows from last week. If it can continue to hold this level then a push back to $1.23 may materialise.
A close below $1.22 opens the way to $1.20 and the low from early September. Overall, the longer-term downtrend remains in place.
USD/JPY knocked lower
USD/JPY spiked to the top of its current downward channel this morning, and then fell back. However, while this is a potentially bearish development, we have seen higher lows since last Thursday, suggesting at least another challenge of the upper channel bound is likely.
However, if the price moves above ¥108 then the pair will acquire a more bullish view, having broken out of the channel.
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.