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CFDs are complex financial instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. CFDs are complex financial instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

FX levels to watch – EUR/USD, GBP/USD, USD/JPY

Renewed dollar strength has seen EUR/USD and GBP/USD reverse their moves higher.

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EUR/USD heads back towards recent low  

Last week’s low at $1.1510 continues to hold for now, but at present there doesn’t seem to be much buying pressure to lift EUR/USD.

Any rally that fails to break back above $1.1822 remains a selling opportunity.

EUR/USD chart

GBP/USD gives back recent gains

The rally last week has faltered, with the $1.32 level now coming into play for GBP/USD.

A break below this would suggest a move towards $1.3039, the lows of September and October 2017. Any rally that moves back towards $1.3450 but fails to break this is likely to see fresh selling pressure.

GBP/USD chart

USD/JPY climb continues

Having rebounded strongly in late May, USD/JPY has pushed on, with intraday dips continuing to find buyers.

A move above last week’s highs, around ¥110.84, would see ¥111.139 tested, and above here a new higher high is created. A close below ¥109.00 would be needed to dispel the current bullish view.

USD/JPY chart

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.

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