EUR/USD and GBP/USD fall as USD/JPY climbs
Dollar strength has seen EUR/USD and GBP/USD drop back, while USD/JPY continues to make gains, pushing back towards last week’s peak.
EUR/USD pushes lower
The EUR/USD pair continues to drop back from last week’s highs, and while it has rallied off $1.172 support, it is still below trendline resistance from last Thursday’s peak.
Below $1.172 the price could also find support at $1.17. A rally through $1.175 would mark a more bullish development, clearing the way for a recovery of recent lost ground.
GBP/USD stable after employment data
While the UK’s economic position worsens, the pound has held its ground against the US dollar. Dips towards $1.301 yesterday found buyers for GBP/USD, as they did on Friday.
Trendline resistance from Thursday’s high has held back progress; a rally through $1.311 would mark a break higher, while bears will want to see a drop below $1.298 to clear the recent zone of resistance.
USD/JPY continues to climb
The price of USD/JPY has maintained its general move higher over the past few days, reversing the weakness seen earlier in August.
The next target to the upside is ¥106.40. A reversal below ¥105.70 is needed to provide a more bearish view.
This information has been prepared by IG, a trading name of IG Australia Pty Ltd. 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.
Start trading forex today
Trade the largest and most volatile financial market in the world.
- Spreads start at just 0.6 points on EUR/USD
- Analyse market movements with our essential selection of charts
- Speculate from a range of platforms, including on mobile
Live prices on most popular markets
- Forex
- Shares
- Indices
