EUR/USD and GBP/USD looking to create higher lows, while USD/JPY eases back after recent gains
Risk appetite is in recovery mode once more, and this has seen the declines in EUR/USD and GBP/USD stemmed for now.
EUR/USD fights to hold above support
The battle to form a higher low goes on in EUR/USD, as the price resists attempts to drive it lower.
For the moment, the $1.092 level continues to hold as support. So long as this is in place, then a fresh leg higher remains a possibility in the short-term. A close above $1.103 accentuates this bullish view.
A close below $1.092 signals a resumed move lower, targeting the 200-day simple moving average (SMA).
GBP/USD continues to establish a higher low
After rallying off the lows yesterday, the price of GBP/USD has begun to recover once more.
A close back above the 50-day SMA would help bolster the bullish view, and perhaps indicate that a new move higher was underway. This might see the price head back to the mid-July highs, or indeed higher.
A close back below $1.265 negates this view and suggests a deeper retracement is likely.
USD/JPY consolidates after gains
Two days of gains have seen the USD/JPY's price move back to ¥143.00. Now we wait to see if the price can make further headway.
Having recovered from the dip last week, the buyers have seized control once more. This puts a move back to ¥145.00 into view.
A close back below ¥141.50 would then indicate a resurgence of weakness, perhaps resulting in a move back to ¥138.00.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. 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. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
Start trading forex today
Find opportunity on the world’s most-traded – and most-volatile – financial market.
- Trade spreads from just 0.6 points on EUR/USD
- Analyse with clear, fast charts
- Speculate wherever you are with our intuitive mobile apps
See an FX opportunity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Take your position
- See whether your hunch pays off
See an FX opportunity?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from just 0.6 points on popular pairs
- Analyse and deal seamlessly on fast, intuitive charts
- See and react to breaking news in-platform
See an FX opportunity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Equities
- Indices
- Forex
- Commodities
Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
