EUR/USD, GBP/USD, and AUD/USD recovery underway yet hurdles remain
EUR/USD, GBP/USD, and AUD/USD have been recovering after a recent dollar gains. However, with key hurdles up ahead, there are still some questions to answer for bulls.
EUR/USD gains ground from Fibonacci support
EUR/USD has been gaining ground following a period of dollar strength that has seen the pair drop into the 76.4% Fibonacci support level. The rebound from that level has now started to slow, with the pair seeing some signs of weakening.
Crucially, while we have started to see the bulls come into play, there are still questions that need answering for the wider bullish picture to come back into play. Most notably, a rise through the $1.2284 swing-high would bring about a fresh bullish signal. Until then, watch out for potential weakness from this short-term Fibonacci zone of $1.2226-$1.2249.
GBP/USD starts to reverse from key resistance
GBP/USD has been outperforming over the course of this week, with the rise into the prior peak of $1.3703 being completed overnight.
That level is going to be key here, with price already showing signs of potential weakness this morning. As such, the reaction to this level will dictate the state of play here, with a break and hold above that point required to bring a bullish continuation signal.
AUD/USD rebounds from Fibonacci support
AUD/USD has rebounded from the 76.4% Fibonacci support level this morning, with the pair seeing sharp gains yesterday.
However, we have started to see some consolidation given the continued trend of lower highs. That pattern means we will be looking out for a potential break through the $0.7799 swing-high to signal an end of the recent pullback and continuation of the wider uptrend.
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