GBP/USD, USD/JPY rallies stall while AUD/USD slips as greenback fights back
GBP/USD, USD/JPY rallies stall while AUD/USD slips as the US dollar recovers ahead of Eurozone PMI and PPI data, US ISM services PMI and factory orders as well as a speech by FOMC member Barr.
GBP/USD consolidates below resistance
GBP/USD recovered from Friday's low at $1.26 and risen to Monday's $1.2707 high, close to its $1.271 late February high which is still key. While the cross remains below these levels, further range trading is likely to be seen.
The $1.271 level needs to be overcome for the $1.275 area to be back in sight. This outlook will remain valid while Friday's low at $1.26 underpins.
Minor support below the 55-day simple moving average (SMA) at $1.2673 sits at the late January $1.2641 low ahead of the more significant $1.2612-11 support zone.
USD/JPY continues to gradually advance
Last week's USD/JPY rapid fall towards the ¥148.93-80 support zone, made up of the 19 and 23 January as well as 5 February highs and 12 February low, was followed by a gradual advance to Friday's ¥150.72 high. This remains in sight.
Above it lie the February highs at ¥150.83-88. While these levels cap, though, a toppish bearish reversal pattern may still unfold.
Minor support can be spotted at the 20 February ¥149.69 low.
AUD/USD slips once more
Last week AUD/USD made a near two-week low at $0.6487 from which it recovered to Monday's $0.6535 high before it resumed its descent.
As long as the $0.6487-81 area underpins on a daily chart closing basis, though, the mid-February advance remains intact.
Failure at $0.6481 would push the 13 February low at $0.6443 to the fore.
This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.
Start trading forex today
Find opportunity on the world’s most-traded – and most-volatile – financial market
- Trade spreads from just 0.6 points on EUR/USD
- Analyse with clear, fast charts
- Speculate wherever you are with our intuitive mobile apps
See an FX opportunity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Try a risk-free trade
- See whether your hunch pays off
See an FX opportunity?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from just 0.6 points on popular pairs
- Analyse and deal seamlessly on fast, intuitive charts
- See and react to breaking news in-platform
See an FX opportunity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Forex
- Shares
- Indices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
