EUR/USD, GBP/USD and AUD/USD gains unlikely to last
EUR/USD, GBP/USD and AUD/USD gain ground, yet wider bearish picture points towards potential for further downside.
EUR/USD rising, yet downtrend signals further downside
EUR/USD has remained within a downtrend throughout the week, with each short-term rally being greeted by another leg lower.
The standard deviation channel provides a rough idea of where the price should be contained within, highlighting the fact that this rally is likely to falter just like the times before it. With that in mind, a bearish outlook remains in play, with a rally through $1.0889 required to negate that view.
GBP/USD rallies into key resistance level
GBP/USD has seen a sharp surge over the past 24 hours, with the pair moving into the key $1.307 resistance level.
A break through that level would point towards another period of strength for the day ahead. As such, watch for whether we break through $1.307 or not as a guide of where we go from here.
AUD/USD likely to reverse lower after rally into Fibonacci resistance
AUD/USD has seen a week of two halves, with the gains seen on Monday and Tuesday giving way to consolidation with the peak coming around the 76.4% Fibonacci level.
The creation of lower highs since that peak does point towards a potential decline to continue the wider bearish trend. Watch for a break below the $0.6707-$0.671 zone to pave the way for such declines.
The information 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 Bank S.A. 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 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. See full non-independent research disclaimer.
Start trading forex today
Find opportunity on the world’s most-traded – and most-volatile – financial market
- Trade spreads from just 0.6 points on EUR/USD
- Analyse with clear, fast charts
- Speculate wherever you are with our intuitive mobile apps
See an FX opportunity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Take your position
- See whether your hunch pays off
See an FX opportunity?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from just 0.6 points on popular pairs
- Analyse and deal seamlessly on fast, intuitive charts
- See and react to breaking news in-platform
See an FX opportunity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Forex
- Shares
- Indices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
