EUR/USD, GBP/USD and AUD/USD downside expected to continue
EUR/ USD, GBP/USD, and AUD/USD losses look likely to continue despite recent consolidation
EUR/USD rallies into Fibonacci resistance
EUR/USD has been regaining ground since Thursday’s low, with the pair rising into the 76.4% retracement level.
The recent decline below a historical support trendline was always likely to pave the way for a rebound, yet the question of whether we are going to see that trendline broken for good will come down to whether we turn lower from here or not. As such, given the recent trend, another bearish turn does look likely from here. However, be aware of that long-term trendline as something which could bring about a recovery if $1.1162 is broken.
GBP/USD consolidates ahead of another likely decline
GBP/USD has been consolidating since Thursday's low, coming off the back of a sharp decline to close out July.
That bearish picture is likely to return before long, therefore, it is worth looking out for a break below the $1.209 level as a bearish breakdown signal. Until that happens, further consolidation remains a possibility.
AUD/USD downtrend looks set to continue
AUD/USD has been seeing consistent downside over the recent weeks, with the ramp-up in trade war rhetoric doing little to help to Aussie.
That trend looks set to continue, with the hourly chart highlighting the consistent trend that has been in play over. With that in mind, further downside looks likely unless we see a break through the most recent swing high (currently $0.6805).
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