EUR/USD and GBP/USD head lower as USD/JPY edges up
The euro and sterling are faltering against the dollar, while against the yen the greenback is making gains.
EUR/USD stalls at $1.19
EUR/USD's bounce from the lows of August have stalled at $1.19, with Friday’s rally to this level encountering pushback.
The drop over the past 24 hours is only modest, and indeed stochastics and the moving average convergence/divergence (MACD) have yet to roll over, but further declines towards $1.18 will reinforce the bearish view. Bulls will want to see a recovery above $1.188 to allay concerns that a turn lower is beginning.
GBP/USD turns lower
Here too with GBP/USD, it looks like a lower high could be in play, as the price reverses towards $1.38 after gaining since late August
Confirmation will come with a move below $1.375, while buyers will want to see $1.385 recovered to put the price back on an upward footing.
USD/JPY makes gains
After struggling to make headway last week, USD/JPY has continued to hold ¥109.50, holding trendline support from the August low, and pushing towards ¥110.00, the area where gains have stalled of late.
Continued adherence to trendline support suggests that the buyers remain in charge, a scenario which remains the case unless we see a drop below ¥109.50.
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
