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 and GBP/USD rally, while USD/JPY hits key support

It is another day of gains for the euro and sterling against the dollar, while USD/JPY has hit vital support as it continues to fall.

EUR/USD resumes its move higher

After a brief pullback from Monday’s peak, EUR/USD is turning higher once again.

The pair has been bolstered by a move above the 50-hour simple moving average (SMA) at $1.1734 and turns higher for stochastics and also moving average convergence/divergence (MACD). This higher low resembles those seen late last week, and point to a renewed bullish trend.

GBP/USD hits new high

GBP/USD is continuing to advance too, and after only a modest drift lower from yesterday’s peak.

This uptrend shows no sign of slowing, and the healthy gains over the past few days point towards a plentiful supply of bullish momentum. $1.304 and $1.32 are the next major targets to the upside.

USD/JPY lurches to new low

Just as EUR/USD and cable are climbing, so USD/JPY is firmly under pressure, and this morning’s drop to a new low at ¥104.80 confirms the downward move.

Barring the sudden drop in March, this level has been a huge level of support since early 2018. If it breaks then we can expect a much more bearish move to emerge. Short-term intraday rallies continue to be selling opportunities, as we saw yesterday with the bounce to ¥105.60.

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.