EUR/USD, GBP/USD and AUD/USD start to regain ground
EUR/USD, GBP/USD and AUD/USD start to regain ground, yet we are yet to see a major break to signal a wider bullish picture coming into play.
EUR/USD decline slows, reversal signal is yet to come
EUR/USD has managed to arrest the decline seen throughout the first 11 days of February, with the price rising through trendline resistance. That break occurred by simply consolidating rather than actually pushing sharply higher through that trendline.
With that in mind, any bullish connotations should be taken with a pinch of salt. Instead, we want to see a rise through the $1.0957 swing high to bring about a more reliable bullish signal for the pair. Until then, there is a good chance we are simply retracing once again as a precursor to further downside.
GBP/USD looks primed for bullish phase
GBP/USD has seemingly turned around, following some relatively encouraging UK data yesterday. The rise through $1.2959 provides us with a break from the recent trend of lower highs, signalling a likely bullish phase coming into play from here.
While the price has been consolidating overnight, it looks likely we will see the price move higher today. A break below $1.2894 would be required to negate this bullish short-term outlook.
AUD/USD breaks into Fibonacci retracement zone
AUD/USD has been regaining ground after a decline into the crucial $0.6671 long-term support level. We have since seen a rally through trendline resistance, as seen on the four-hour chart below.
However, the downtrend remains intact unless we see a rally through the $0.6774 swing high. Until then, there is a chance we will see the pair turn lower from the deep retracement zone between the 61.8% and 76.4% Fibonacci levels ($0.6731-$0.6747).
IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.
The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
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. Please see important Research Disclaimer.
Please also note that the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.
Start trading forex today
Trade the largest and most volatile financial market in the world.
- Spreads start at just 0.6 points on EUR/USD
- Analyse market movements with our essential selection of charts
- Speculate from a range of platforms, including on mobile
Live prices on most popular markets
- Forex
- Shares
- Indices
See more forex live prices
See more shares live prices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
See more indices live prices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.
