Weaker dollar allows gains for EUR/USD, GBP/USD and AUD/USD
Higher UK inflation has bolstered the pound against the dollar, while the euro and Aussie are also making gains versus the US currency.
EUR/USD back at trendline resistance
EUR/USD continued to rally from the lows of the week, but it remains below trendline resistance.
A close above $1.06 might trigger a short-term bullish view, though the $1.063 level which acted as resistance last week may stifle further progress to the upside. A continued failure to move above recent resistance would then see the price move back towards $1.05 and $1.045.
Above $1.063 the price might yet move back towards the declining 50-day simple moving average (SMA).
GBP/USD higher after CPI data
Higher UK inflation helped the pound to rise against the dollar, though the overall bearish in view in GBP/USD remains unchanged.
Additional gains target trendline resistance from the July highs, which would come into play towards $1.23, which lies near the highs from last week.
Sellers will be on the lookout for any move back below $1.212, which could open the way to the lows seen at the beginning of the month.
AUD/USD gains for a third day
The $0.63 level has held as support twice this month for AUD/USD, and the price continues to rally from this level.
However, gains last week were capped by the declining 50-day SMA, along with trendline resistance from the earlier highs of September. A failure to move on above $0.642, and might then see the price head back to $0.63.
A close above $0.645 is needed to suggest a more durable near-term move to the upside has begun.
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