FX levels to watch: EUR/USD, GBP/USD, USD/JPY

Gains have continued for the euro and sterling, while USD/JPY has also moved upwards.

Source: Bloomberg

EUR/USD rallies through resistance

The EUR/USD pair mounted an impressive bounce above trendline resistance, and while it then retraced to the line, it posted a classic bounce.

Dip buyers came in around $1.14, suggesting that we have seen a bullish move develop. Further gains target $1.15 and then $1.1554. Higher lows have been put in place over the past week, so dips towards $1.14 may continue to find buyers.

GBP/USD finds further strength

Brexit optimism and a weaker dollar continues to support GBP/USD.

An early dip to $1.31 found buyers, and further gains target yesterday’s highs around $1.3175. So far dips have been bought, so a move back below $1.305 is needed to reverse the broadly bullish outlook.

USD/JPY gains continue

The uptrend from the lows of last week continues, with the price of USD/JPY clocking up a higher high in the process on the hourly chart.

The next target is now ¥114.50, the highs from early October. Dips towards ¥113.00 may well find buyers.

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