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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

FX levels to watch – EUR/USD, GBP/USD, AUD/USD

The dollar rally has eased off, but sterling is still struggling following a dovish BoE meeting. 

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EUR/USD rebounds

EUR/USD has finally managed to rebound, but it has given back some of its gains from yesterday.

A failure to push on above $1.1950 would signal that the sellers are back in charge, and would target $1.1820 and then down to $1.1717.

EUR/USD chart

GBP/USD unable to break out of range

The increased volatility of yesterday resulted in GBP/USD ending up where it started, still unable to break out of its $1.3480-$1.36 range.

A break of this is still required to indicate the next direction. However, the continued price action above $1.35 might suggest a rebound is in play, at least in the short term.

GBP/USD chart

AUD/USD may rebound

The substantial rally yesterday has raised hopes of a rebound for AUD/USD, but it needs to clear $0.7560.

Above here, $0.7650 comes into play, while a turn lower targets $0.7470 and Wednesday’s low at $0.7410. 

AUD/USD chart

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This information has been prepared by IG, a trading name of IG Markets Limited 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. International accounts are offered by IG Markets Limited in the UK (FCA Number 195355), a juristic representative of IG Markets South Africa Limited (FSP No 41393). South African residents are required to obtain the necessary tax clearance certificates in line with their foreign investment allowance and may not use credit or debit cards to fund their international account.