EUR/USD and USD/JPY show signs of bottoming out, while GBP/USD continues to fall
While the pound is still losing ground against the dollar, the euro is advancing against the US currency, which itself has rallied against the yen.
EUR/USD rises for a second day
The EUR/USD is moving higher, having found a low above the 200-day simple moving average (SMA) during the week.
A higher close today would support the view that a low has been formed and that the price may now push on towards $1.09, and then towards the highs from mid-July. A close back below $1.0825 negates this view.
GBP/USD heads lower
The GBP/USD continues to weaken, giving back more of the July rally.
Further declines target the 50-day SMA, currently $1.2777, while below this lies the $1.2667 support level. In the short-term, a close back above $1.29 would support the view that a rebound was underway.
USD/JPY rebounds off key level
The USD/JPY surged off the lows yesterday, having hit the ¥152.00 support level. This marked resistance back in November 2023 and March 2024, and was support at the beginning of May.
A close above ¥154.00 would reinforce a bullish view and begin to suggest a low has formed. Alternately, a reversal and close below ¥152.00 brings the 200-day SMA into view.
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