FX levels to watch: EUR/USD, GBP/USD and USD/JPY
The Fed has put a lead weight on the US dollar, driving the greenback lower as it revises its policy outlook.
EUR/USD surges after FOMC
The weaker dollar lit a rocket underneath the euro yesterday, and we have seen the EUR/USD price push back above $1.15.
Further gains target $1.1554 and then $1.16 and the top end of the upward channel. The $1.14 area is key for possible support.
GBP/USD bounces off 200-day SMA
GBP/USD found support at the 200-day simple moving average (SMA) of $1.3056, and then began a new move higher.
Further gains target $1.32, the highs from the end of last week, and then $1.3338 and $1.3470 come into view from here. The bullish view remains, unless we see a break of $1.30 and the creation of a lower high.
USD/JPY takes a turn lower
The dollar’s drop yesterday further reinforces the impression that the USD/JPY is headed lower.
The price is oversold on an intraday basis, but any rebound may well provide a lower high in due course and a new selling opportunity. The ¥109.20 and then ¥109.60 levels are areas of possible resistance. Further declines head towards ¥108.40 and then ¥108.00.
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.