EUR/USD, GBP/USD and AUD/USD drift lower
EUR/USD, GBP/USD and AUD/USD lose ground, with key support coming into play.
EUR/USD continues to lose ground as it heads towards key support
EUR/USD has been on the slide since topping out last week, with the pair moving back into the bearish trajectory that characterised the beginning of this month. That is taking us towards the crucial $1.099 support level, which would bring wider bearish connotations if broken.
There is a potential for some bullish momentum coming into play if the stochastic rises back through the 80 mark. However, until we see that stochastic break and a rise through $1.1032, further downside looks likely for this pair.
GBP/USD turning lower from Fibonacci resistance
GBP/USD has started to turn lower after a rally into the 61.8% Fibonacci resistance level. The prior break through $1.2976 does point towards the possibility of a bullish breakout coming into play before long.
However, the weakness we are seeing this morning does point towards a potential next leg lower for now. As such, the pair looks likely to see further downside for now, as it remains within the recent consolidation zone.
AUD/USD likely to break lower once again
AUD/USD has been on the slide over the past week, with the pair continuing the downtrend seen throughout much of November. With a descending trendline largely capping any upside, we are now seeing the pair trade at the apex of a descending triangle formation.
A break below $0.6769 would likely bring about a next leg lower for the pair as it continues the recent decline. Thus, today's price action will likely be driven by whether we break through $0.6769 support or $0.6799 resistance.
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