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

US dollar weakness is in play yet again, with EUR/USD and GBP/USD hitting multiyear highs, while USD/JPY falls into a four-month low.

EUR/USD pushes further into three-year high

EUR/USD has managed to break through key resistance levels of late, with the price hitting a new three-year high.

Given the strength of the recent move higher, there is a chance of a retracement before long. However, with a clear uptrend in place, the bullish view remains in play, unless the price falls back below $1.2111.

GBP/USD hits new 18-month high

GBP/USD has continued to move higher following the recent break through the crucial $1.3659 resistance level. That formed a new 18-month high for the pair, with very little in the way of resistance up ahead.

With that in mind, further upside seems likely from here, with any short-term retracement likely to be a pullback, rather than a reversal. Only a break back below $1.3537 would negate this bullish outlook.

USD/JPY heads lower once more

USD/JPY is turning lower yet again this morning, with the dollar sell-off picking up where it left off last week. With the price breaking below ¥110.84, we are now seeing the pair push lower into a region with very few notable support levels.

Keep an eye out for ¥110.89 and ¥111.69 as near-term resistance levels. As long as the price remains below ¥111.69, the bearish view remains, with the pair looking set to continue this significant recent downtrend.

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