Skip to content

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved.

Outlook on EUR/USD, EUR/GBP and GBP/USD ahead of UK budget and Powell speech​​​

​​​EUR/USD, EUR/GBP and GBP/USD likely to be affected by UK budget and Powell speech in Congress.​​

EUR/USD Source: Bloomberg

​​​EUR/USD targets the 55-day SMA

EUR/USD remains above its breached its December-to-March downtrend line and is expected to hold above its 200-day simple moving average (SMA) and tentative uptrend line at $1.0834 to $1.0827 whilst targeting the 55-day SMA and Tuesday's high at $1.0875 to $1.0876.

While Thursday's $1.0796 low underpins, the short-term uptrend remains intact.

EUR/USD chart Source: TradingView.com
EUR/USD chart Source: TradingView.com

​EUR/GBP consolidates further still

Despite its recent minor corrective phase lower, EUR/GBP still has the £0.8573 to £0.8578 key resistance area in its sights while it stays above its 23 February £0.8529 low.

A rise and daily chart close above £0.8578 must be seen for the 200-day SMA at £0.8608 to be reached. Good support below £0.8529 sits between the July-to-August lows at £0.8504 to £0.8493.

EUR/GBP chart Source: TradingView.com
EUR/GBP chart Source: TradingView.com

​GBP/USD looks bid ahead of UK budget

GBP/USD has shot up from Friday's low at $1.26 to Tuesday's $1.2735 high, a rise above which would target the $1.2772 to $1.2786 resistance area.

This bullish view will remain valid while Friday's low at $1.26 underpins. Minor support below the 55-day SMA at $1.2675 lies at the late-January $1.2641 low ahead of the more significant $1.2612-11 support zone.

GBP/USD chart TradingView.com
GBP/USD chart TradingView.com

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.

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. Please see important Research Disclaimer.

Please also note that 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.

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

Find out more

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Tuesday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

<h3>How much does trading cost?</h3>
<h3>Find out about IG</h3>
<h3>Plan your trading</h3>

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.