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

A resurgent dollar has seen downtrends in EUR/USD, GBP/USD and AUD/USD reassert themselves. 

All trading involves risk. Losses can exceed deposits.

EUR/USD reaches new lower high

Yesterday’s European Central Bank (ECB) meeting provided an excuse for further selling, creating a new lower high for the EUR/USD.

This followed on from the turn lower in mid-February. The next target is $1.2165, with the November rising trendline in sight just below this. The next area to watch for support is $1.2093. While some rebound is to be expected, any bounce that fails to move above $1.2450 is another possible selling opportunity.

EUR/USD chart

GBP/USD continues downtrend from January

Here too this week has seen another lower high created for GBP/USD, continuing the downtrend from late January.

The first levels to watch are $1.37 and then $1.3659, and $1.3915 and then $1.3943 are near-term areas of potential resistance. A break above $1.40 is needed to reverse the bearish view from here.

GBP/USD chart

AUD/USD creates new lower high

The bounce for AUD/USD from the lows of last week has run out of steam around the $0.7836 level.

While the price has moved higher overnight, a new lower high has been created. Further declines will target $0.7748 and then $0.7694. It would need a break above $0.7850 to reverse the bearish outlook, with $0.79 then coming into play.

AUD/USD chart

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