FX levels to watch: EUR/USD, GBP/USD and NZD/USD
EUR/USD, GBP/USD, and NZD/USD all look at risk of further downside, with key support levels coming into play.
EUR/USD rallies into deeper retracement
EUR/USD managed to stage another leg higher yesterday, with the pair rising through the 76.4% Fibonacci resistance level.
The downtrend seen over the course of recent months is reliant upon the creation of lower highs. With that in mind, we would need to see a rise through the $1.1264 swing high to bring about a wider bullish picture. Until then, the pair is likely to turn lower from this consolidation, with that 76.4% Fibonacci level seemingly providing resistance at present.
GBP/USD expected to slide after bearish break
GBP/USD dropped below the key $1.2989 support level yesterday, bringing about greater confidence that the bullish phase of last week is over.
With the price turning lower once again, it looks likely we will see the pair lose ground once more from here. However, should we see a rise, it would take a push through $1.308 to signal that it is anything but a short-term retracement.
NZD/USD starts turning higher
NZD/USD is turning higher following a break through the key $0.6605 swing high this morning.
That rise means that the subsequent pullback is seen as a retracement, with the price rising off the back of a move into the 76.4% Fibonacci level. As such, further upside looks likely from here, with a break below $0.6582 required to negate this short-term bullish picture.
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
