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

The dollar strength story seems like it will continue, with EUR/USD, GBP/USD and AUD/USD all looking likely to find further downside from here.

EUR/USD retracement looks to give way to further selling

EUR/USD managed to rebound back towards the $1.1526 resistance level yesterday, with the pair looking likely to turn back towards the downside following a 61.8% retracement.

The recent downtrend and break below $1.1526 points towards further downside to come, with a bearish view in place unless we see a rally above $1.1594.

GBP/USD rallies into stochastic resistance

GBP/USD has been gaining ground through the second half of the week, bringing the price into the upper Bollinger band.

While the pair would provide a more bullish outlook with a break above $1.3117, there is a strong chance we will see the pair reverse lower following this recent rebound.

AUD/USD breaks below key support

AUD/USD has maintained the wider bearish momentum, with the break below $0.7085 providing confirmation that the wider bearish trend remains in place.

A break above the $0.7097 level would bring heightened expectations of another retracement. Until then, further downside seems likely from here.

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