EUR/USD, GBP/USD and USD/JPY all looking strong
We continue to see signs of risk appetite, as EUR/USD, GBP/USD and USD/JPY keep rallying following gains earlier this week.
EUR/USD strong ahead of ECB
The EUR/USD pair shows no sign of slowing in its ascent ahead of the European Central Bank (ECB) meeting.
Over the past two weeks the pair has found support near the rising 50-hour simple moving avergae (SMA) which is currently $1.1198, and if this holds again another bounce above $1.126 may result. A reversal below $1.11 is needed to provide a more bearish view in the near term.
GBP/USD still advancing
GBP/USD bulls will be hoping for the creation of a higher low as the price retreats from the highs of the week.
A rebound targets those highs at $1.26 and higher, while declines head towards $1.225 and then $1.22. Bears will need to see the creation of lower highs on the hourly chart, which for the time being is still an elusive goal.
USD/JPY pauses after sharp rally
The USD/JPY pair has finally cleared the zone of resistance around ¥107.80 and has leaped higher as a result.
Pullbacks towards this previous area of resistance may be buying opportunities, while short-term upside targets ¥109.45 and then on to ¥112.00.
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