FX levels to watch – EUR/USD, GBP/USD, AUD/USD

All eyes are on the BoE as it announces its latest decision, with a rate hike a very high probability.

Source: Bloomberg

EUR/USD turns lower once more

Having spent the past few days trying to break back above $1.1662, and failing, EUR/USD is now turning lower once again.

Last Friday’s low of $1.1574 will come into play if we see additional losses, with the $1.1489 area the next zone to watch. A close above $1.1662 is needed to reverse the bearish outlook.

GBP/USD waits with bated breath

The Bank of England (BoE) decision is likely to result in a volatile day for GBP/USD, so traders will have to move carefully.

The run up in recent days from below $1.31 has stalled at $1.33, so a close above $1.3341 is needed to confirm bullish momentum, bringing the $1.3427 area into play as a result. It will be difficult to determine a direction for the pair until the dust settles from the BoE meeting.

AUD/USD runs into resistance

A steep rally for AUD/USD over the past day could provide a selling opportunity on the four-hour chart, as the price falters around $0.77, as it did in late October.

If the price turns lower, $0.7650 and $0.7623 become the levels to watch. A move above $0.7750 is needed to indicate that buyers may be regaining control.

IGA, may distribute information/research produced by its respective foreign marketing partners 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.

This information/research prepared by IGA or IG Group is intended for general circulation. 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 or 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. In addition to the disclaimer above, 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.

See important Research Disclaimer.

Find articles by writer

Find out more about