EUR/USD consolidates around trendline resistance
EUR/USD has rallied back into the four-hour simple moving average (SMA) resistance overnight, with the pair remaining stuck between the descending trendline resistance and SMA support.
That trendline (dating back to June) is back in play now, and we would need to see a break through $1.1659 to signal an impending period of upside for the pair. As such, watch for a break above $1.1659 or below $1.1570 to provide direction for the near term.
GBP/USD continues to grind higher
GBP/USD has been pushing higher over the past fortnight, with the pair hitting the highest level in a month on Tuesday. However, despite attempting to break through that peak, we have seen the pair fail to overcome this week’s high of $1.3088.
This may not necessarily be a bearish shift, with the creation of higher lows still pointing towards further upside. However, it is worthwhile keeping an eye out for a potential break below the $1.2965 level. Should that occur, there would likely be a period of weakness, if only to retrace part of the $1.2785-$1.3088 rally.
AUD/USD hits Fibonacci resistance
AUD/USD has managed to rebound sharply over the past 24 hours, breaking out of a period of sideways consolidation and into a retracement.
This points towards a good bearish selling opportunity coming into the fray, given the deep retracement we have seen. The almost perfect respect of the 76.4% retracement level ($0.72) points towards a likely period of weakness coming into play from here. A break above $0.7236 would be required to negate this bearish short-term outlook.