AUD/USD bounce falters and EUR/JPY slumps further, but EUR/GBP rallies ahead of BoE meeting
The euro remains under heavy pressure against the yen, but is making headway against sterling ahead of the UK rate decision today. Meanwhile yesterday’s bounce in AUD/USD has run out steam.
AUD/USD bounce runs out of steam
AUD/USD continues to head lower despite a rebound from yesterday’s three-month low. Yesterday’s recovery has fizzled out, and a push back to the lows of Wednesday’s session seems likely. This would maintain the bearish view.
A close back above $0.657 would mark a low for the time being, and then the price will test the 200-day simple moving average (SMA).
EUR/GBP rebounds
EUR/GBP has found new bullish momentum, rallying back towards the 50-day SMA and Monday’s peak.
The downtrend is still in place, so any bounce would still likely form a lower high for the time being. However, a medium-goal for further upside would be the late June highs at £0.849 and the early June gap lower.
EUR/JPY slumps to new four-month low
EUR/JPY huge pullback continues, with the price closing below the 200-day SMA for the first time since March 2023.
The uptrend has taken a huge knock, and with the Bank of Japan (BoJ) now likely to tighten further more losses seem likely. The Mach 2024 low at ¥160.00 looms. So far there is little sign of any rebound beginning.
This information has been prepared by IG, a trading name of IG Markets Ltd and IG Markets South Africa 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
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
Prices above are subject to our website terms and agreements. Prices are indicative only
