EUR/USD and GBP/USD fall sharply, as USD/JPY edges up
The outbreak of risk aversion in markets has hit EUR/USD and GBP/USD hard.
EUR/USD targets August low
EUR/USD has almost completed its return to the August low, giving back almost all the ground gained since then.
The sellers have put the bearish view back on the front foot and how we look for a renewed decline below the August low around $1.167 that will create a lower low and revive the downtrend.
GBP/USD firmly in retreat
The bounce in the pound against the dollar seems to have run its course, and with Friday having seen the GBP/USD price drop below trendline support the sellers are now firmly in charge.
Further declines head towards $1.366 and then $1.36.
USD/JPY edges towards top of range
With USD/JPY, the dollar is still stuck in a range against the yen, since over the past three months dips below ¥109.50 have found buyers while rallies above ¥110.50 tend to run out of momentum.
At present the buyers are in the ascendant, but it looks like a low-conviction move for the time being.
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
