EUR/USD, GBP/USD and AUD/USD likely to fade after overnight gains
EUR/USD, GBP/USD and AUD/USD regain ground overnight, but they look unlikely to last.
EUR/USD rebound looks destined to fail
EUR/USD has been grinding higher overnight, in a bid to regain some of the lost ground seen throughout yesterday's session.
However, the downtrend remains intact unless the price rises through the $1.1261 level, with the existence of a provisional descending trendline signalling a potential bearish turn in the near-future. As such, a bearish outlook remains in play here.
GBP/USD manages to muster shallow rebound
GBP/USD has attempted to regain some of yesterday's sharp declines, with the pound suffering in the wake of the Bank of England (BoE) meeting. However, that rebound has been pretty weak, and the rise into overbought for the stochastic highlights that it could soon come to an end.
Watch for a potential bearish turn in the near future, with a rally through the descending trendline required to start building a more bullish case.
AUD/USD in consolidation mode as pair regains ground
AUD/USD has been trading within a symmetrical triangle formation over the latter part of the week, with the rise seen overnight providing yet another example of that consolidation.
The breakout from this zone would provide us with a more confident directional bias, with the $0.6902 (bullish), and $0.6836 (bearish) levels providing key thresholds to watch.
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.
