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EUR/USD and GBP/USD fall as USD/JPY moves higher

The dollar continues to carry all before it, pushing down EUR/USD and GBP/USD, while USD/JPY is sent higher once again.

EUR/USD gives up Monday’s gains

For EUR/USD, there doesn’t seem to be much sign of a bullish move at present, as the price undergoes a reversal from yesterday’s highs.

Sellers now need to push the pair below $1.12 to confirm a more bearish view, with further support nearby at $1.18. If the price can hold the $1.12 area then a rebound towards $1.128 and $1.134 is a possibility.

GBP/USD still in retreat

GBP/USD has pushed steadily lower the past week, with lower highs and lower lows since 23 June.

Further declines target $1.221 and then $1.216, which would complete the round trip from the late-May lows. For a more bullish view to emerge the price needs to create intraday higher highs and higher lows, which would suggest at least a rally through $1.24.

USD/JPY pushes higher

USD/JPY has managed to push on above ¥107.40, bolstered by rising trendline support from last week’s lows.

Further gains target ¥108.60, and then on towards ¥110.00. Alternatively, a break below ¥107.40 is needed to provide a more short-term bearish view.

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.

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