EUR/USD and GBP/USD rise towards resistance, while USD/CAD declines ease
EUR/USD and GBP/USD are on the rise, with both moving back towards key resistance. Meanwhile, USD/CAD is struggling to maintain its momentum as crude prices fall.
EUR/USD rises back into key support level
EUR/USD has managed to regain ground, with the pair pushing back into the $1.2243 resistance level once more. That level represents both the recent high established on Wednesday, but also the major swing high dating back to late February.
As such, the outlook will be determined by the reaction to this level, with the pair looking likely to ultimately break higher to continue this recent uptrend.
GBP/USD seeks to continue recent uptrend
GBP/USD is similarly gaining ground, with the pair seeking to ultimately push up into the $1.4241 resistance.
The recent uptrend brings hope that we will see a continuation of the longer-term bullish trend, although we will need to overcome key resistance in the form of $1.422 and $1.4241 to prove that this move has legs.
USD/CAD struggling amid crude weakness
USD/CAD has been attempting to continue its bearish trend, with yesterday seeing the pair move sharply lower. However, with Iranian crude looking like it could ramp up global supply, we have seen energy prices suffer which dents CAD valuations.
Nonetheless, the ongoing downtrend is not over, and thus despite the current consolidation there is a good chance we ultimately resolve with another move lower. As such, further downside does still seems likely, with a break up through the likes of $1.2144 and $1.2203 needed to start bringing confidence in a more protracted move higher.
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
