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 and AUD/USD

The dollar is losing ground after the Republicans lost control of the House of Representatives. With EUR/USD, GBP/USD and AUD/USD all pushing into deeper retracement levels, could this be the beginning of a wider bullish shift?

anonymous

Publication date : 2018-11-07T10:05:36+0000

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EUR/USD pushing upwards amid dollar weakness

EUR/USD has been pushing higher, in a continuation of the strength seen throughout November thus far.

With the price rising through the 50% retracement, there is a strong chance we will see the pair continue to gain ground over the near term. A break through the $1.1622 mark would be required to bring about a wider bullish outlook for the pair. Until then, watch for a move into the deeper Fibonacci retracement area of $1.15 and potentially $1.1546.

EUR/USD chart

EUR/USD chart

EUR/USD chart

GBP/USD pushes past Fibonacci resistance

GBP/USD has managed to regain a significant amount of ground, with the combination of a more hawkish Bank of England (BoE) outlook coupled with a post-midterm election decline in the dollar helping push the pair past the 76.4% retracement. That raises the chance of a wider bullish breakout above $1.3258.

However, until we see that, there is still a chance of the pair turning lower to continue the wider creation of lower lows in play.

GBP/USD chart

GBP/USD chart

GBP/USD chart

AUD/USD continues to regain ground

AUD/USD has turned higher once more, despite the initial respect of the 76.4% Fibonacci resistance. The long-term downtrend remains intact unless we see a break through the $0.7315 swing high.

However, with the price having broken through both trendline and now Fibonacci resistance, we are increasingly seeing a wider turnaround as a possibility. With that in mind, we are in a position where there are both bullish and bearish factors in play. However, a break through $0.7315 would bring about a clearer and bullish picture for the pair.

AUD/USD chart

AUD/USD chart

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.

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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. Clients can lose more than they deposit. All trading involves risk.

IG is a trading name of IG Markets Ltd and IG Markets South Africa Limited. 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 order to utilise their foreign investment allowance should the South African resident wish to open an offshore account with IG Markets Limited.

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