EUR/USD, GBP/USD and AUD/USD look set for further downside
EUR/USD and AUD/USD turning lower, with potential for further declines to come.
EUR/USD turning lower after recent consolidation
EUR/USD has been in consolidation mode over the course of the past week. We have seen the 200-day simple moving average (SMA) resistance level respected throughout the course of the week, and it has come into play once again on Friday.
With the pair now moving back into $1.1167 support, a break below there would bring about a bearish picture for the coming days. As such, as long as we remain above that $1.1167 level, consolidation can continue. However, a break below there would point towards downside to come.
GBP/USD starts to regain ground after breakdown
GBP/USD sold off sharply over the course of Friday, finally bringing the move that had been expecting throughout much of the past week.
With the pair turning higher, it looks like we are at the beginning of a new retracement phase. As such, further gains would bring about a good selling opportunity for the pair, where a bearish picture is in play unless we see a rise through the $1.2182 swing high.
AUD/USD turning lower from resistance zone
AUD/USD managed to rally into a crucial resistance zone last week, yet the failure to push through the $0.6827-$0.6831 zone provided a bearish picture for the upcoming period. Those levels are two historical lows, which now provide resistance for the pair.
With the price turning lower from around that area, there is a good chance that we will see further downside over the short term. Conversely, a break through $0.6831 would be required to bring about a more bullish picture.
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