EUR/USD, GBP/USD and AUD/USD continue their short-term weakness
Dollar strength has led to short-term losses in EUR/USD, GBP/USD and AUD/USD.
EUR/USD edges down once more
EUR/USD has continued the run of declines seen on Thursday, returning to trendline support from the early-December low.
A move below $1.223 would trigger a more short-term negative view, and could open the way to the 50-day simple moving average (SMA) at $1.2023. A rebound targets Wednesday’s highs above $1.23.
GBP/USD remains in short-term triangle
A short-term descending triangle has formed, as the GBP/USD price sees a run of daily lower highs but holds above support at $1.355.
It is also holding above trendline support from early December, therefore, a move below this and below $1.355 support would open the path to some more short-term weakness, potentially as far as the 50-day SMA at $1.336.
AUD/USD benefits from global risk-on move
While it has dropped back over the past 24 hours, AUD/USD has been a big winner from the outbreak of risk appetite so far this year and throughout December.
Having rallied to a near three-year high, the price has edged back to short-term trendline support, with a break below $0.77 likely to signal a more substantial near-term correction. A recovery from trendline support targets $0.78 and then on to new multi-year highs.
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