FX levels to watch: EUR/USD, GBP/USD, USD/JPY
Today’s Fed meeting may not do much for the dollar, but the greenback is already losing ground against other key currencies.
EUR/USD still pushing higher
The price has continued to rally for EUR/USD, moving in the direction of trendline resistance from the March highs.
A breakout above $1.1260 would clear this resistance and open the way to the previous high at $1.1320. Horizontal resistance also comes into play around $1.1260, so this is a key area for bulls. A turn back below $1.1160 would be bearish, but the downward trend from the March highs requires a push below $1.1120.
Sterling bulls reassert control in GBP/USD
GBP/USD surged yesterday and closed above trendline resistance from the March highs, clearing $1.30 in the process.
Fresh gains today have seen it push on above $1.3040 horizontal resistance. Further gains target $1.3130, $1.32 and then on to $1.3350. Dips towards $1.30 may provide buying opportunities intraday.
Bears push down USD/JPY
The price broke below trendline support last week for USD/JPY, and since then rallies have been firm selling opportunities.
The overnight bounce, which formed the low seen yesterday, may be repeated, and already the price has dropped back from the 50-hour simple moving average (SMA) at ¥111.54. Further declines target ¥110.85.
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
See more forex live prices
Prices above are subject to our website terms and agreements. Prices are indicative only
