Quiet day ahead for EUR/USD, EUR/GBP and EUR/JPY as US celebrates 4 July
Outlook on EUR/USD, EUR/GBP and EUR/JPY while the US is celebrating its 4 July holiday.
EUR/USD expected to trade in small range due to US 4 July holiday
EUR/USD continues to range trade above its recent lows at $1.0845 to $1.0835 as the US is shut for its 4 July holiday and trading volumes are expected to be greatly diminished.
EUR/USD remains above its the 55-day simple moving average (SMA) at $1.088 around which it found support on Monday. Below it lies stronger support at $1.0845 to $1.0835, the recent lows, only a fall through which would engage the $1.0789 April low.
Minor resistance above Friday and Monday’s highs at $1.0931 to $1.0933 can be spotted at last Thursday’s $1.0941 high.
EUR/GBP trades in little volatility
EUR/GBP is seen trading in low volatility, having last week come off its £0.8658 one-month high to Friday’s low at £0.8577. This level may again act as support on Tuesday.
If not, the early-June low at £0.8568 is likely to be revisited. Below it further minor support can be found at the £0.8542 mid-June trough.
Only a rise above Monday’s high at £0.8605 could lead to the resumption of the mid-June-to-early-July advance with the mid-June high at £0.8613 then being back in the frame.
EUR/JPY ascent stalls below ¥158.00 as threat of intervention looms
EUR/JPY's rise has so far stalled at its late June high at ¥158.00 as traders are increasingly concerned about potential currency intervention by the Bank of Japan (BoJ) which would push the cross back down again.
This follows the Japanese Ministry of Finance recently mentioning the Japanese Yen weakness, saying that they were watching currency moves with a 'sense of urgency'.
A rise above last week’s ¥158.00 high would push the February 2007 peak at ¥159.65 and also the minor psychological ¥160.00 mark to the fore. Support below the 22 June high at ¥156.93 is to be found at last week’s low at ¥156.69, below which lies the 19 June high at ¥155.26.
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
