EUR/USD and GBP/USD heading down while USD/JPY recovers
The week has begun with losses for the euro and sterling against the dollar, while USD/JPY is edging higher.
EUR/USD under pressure
Despite the bounce on Friday, the sellers have driven the EUR/USD price lower once again.
Further losses towards $1.125 would likely prompt a bearish crossover in daily stochastics, amplifying the bearish view. So long as the price remains below $1.14, any bullish view is in abeyance.
GBP/USD heads lower again
GBP/USD’s Friday gains have been given back in a large part, as sellers come in to hit even the modest intra-day rally seen at the end of last week.
Sellers have yet to challenge the $1.32 area in a meaningful way, with dips below this level finding buyers last week. A break below this is required to prompt a new leg lower.
USD/JPY recovers recent losses
USD/JPY is almost back to Friday’s highs, although it remains below the 50-day simple moving average (SMA) for the time being.
Nonetheless, with the price recovering and both stochastics and moving average convergence/divergence (MACD) turning higher the buyers look to be in control. This bullish view would require a drop back below ¥113.20 to be negated.
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