EUR/USD, GBP/USD, and AUD/USD at risk of a bearish turn
EUR/USD, GBP/USD and AUD/USD gain ground, yet remain at risk of a bearish reversal from here.
EUR/USD rallies into resistance after Friday surge
EUR/USD has been regaining ground since Friday's low, with the pair rising back into a notable confluence of previous peaks and troughs. That $1.2053 level has proven to be a step too far as things stand.
However, should we break through that level we will be looking at a potential push towards the $1.2099-$1.2133 zone. Ultimately, the wider retracement still remains in play irrespective of whether we see the price break through the $1.2053 level. Instead, the price would have to break $1.219 to bring a bullish outlook back into play.
GBP/USD starts to weaken after recent rise
GBP/USD has been on the rise after sharp declines through much of last week. However, we have seen an impressive recovery that takes us back towards the $1.3758 resistance level.
A break through that level would negate the recent wedge breakdown seen in the pair. However, with the stochastic rolling over and the price starting to weaken, there is a good chance we start to see this rally run out of steam. As such, while a break through $1.3758 would bring about a fresh bullish signal for the pair, there is a chance we start to roll over from here.
AUD/USD gains ground, yet questions remain
AUD/USD managed to rally up through the $0.7648 resistance level on Friday, with the pair pushing into the 200-simple moving average (SMA) indicator this morning.
That raises questions once again, with a break through $0.7704 required to negate the current bearish formation. With the pair starting to weaken around the 200-SMA and 76.4% Fibonacci levels, there is a good chance we see the pair turn lower from here. That bearish view is negated with a move through $0.7704.
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