Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. You could sustain a loss of some or all of your initial investment and should not invest money that you cannot afford to lose. CFDs are complex instruments. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.

EUR/USD, GBP/USD and AUD/USD continue their short-term weakness

Dollar strength has led to short-term losses in EUR/USD, GBP/USD and AUD/USD.


EUR/USD edges down once more

EUR/USD has continued the run of declines seen on Thursday, returning to trendline support from the early-December low.

A move below $1.223 would trigger a more short-term negative view, and could open the way to the 50-day simple moving average (SMA) at $1.2023. A rebound targets Wednesday’s highs above $1.23.

GBP/USD remains in short-term triangle

A short-term descending triangle has formed, as the GBP/USD price sees a run of daily lower highs but holds above support at $1.355.

It is also holding above trendline support from early December, therefore, a move below this and below $1.355 support would open the path to some more short-term weakness, potentially as far as the 50-day SMA at $1.336.

AUD/USD benefits from global risk-on move

While it has dropped back over the past 24 hours, AUD/USD has been a big winner from the outbreak of risk appetite so far this year and throughout December.

Having rallied to a near three-year high, the price has edged back to short-term trendline support, with a break below $0.77 likely to signal a more substantial near-term correction. A recovery from trendline support targets $0.78 and then on to new multi-year highs.

This information has been prepared by IG, a trading name of IG US LLC. This material does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. You should not treat any opinion expressed in this material as a specific inducement to make any investment or follow any strategy, but only as an expression of opinion. This material does not consider your investment objectives, financial situation or needs and is not intended as recommendations appropriate for you. No representation or warranty is given as to the accuracy or completeness of the above information. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. Any research provided should be considered as promotional and was prepared in accordance with CFTC 1.71 and designed to promote the independence of investment research. See our Summary Conflicts Policy, available on our website.

Start trading forex today

Trade the largest and most volatile financial market in the world.

  • Spreads start at just 0.8 pips on EUR/USD
  • Analyze market movements with our essential selection of charts
  • Speculate from a range of platforms, including on mobile

Live prices on the most popular forex markets


Prices above are subject to our website terms and agreements. Prices are indicative only

You might be interested in…

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 forex provider.

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