EUR/USD back to support zone
EUR/USD has fallen back towards a zone of support, around $1.1440.
A close below this is required to open the way to the $1.13 lows from August. We have seen a lower high created in mid-October, so a sustained rebound requires a move above $1.1550 to challenge $1.16.
GBP/USD bounces for now
After yesterday’s losses, GBP/USD is rebounding for the time being, although it remains firmly in a downtrend from the highs of mid-October.
Rallies to $1.31 may find fresh selling, but a close above this level would at least generate a new higher high. The October low at $1.2922 could be potential support, but below this $1.2773 and $1.2635 come into view.
USD/JPY falls back after new higher high
USD/JPY’s bounce from the lows of mid-October is under threat, although we saw weakness towards the end of last week that resolved in a short-term move higher.
A higher high has been created in the move from the October lows, so any dip that holds above ¥112 could be a buying opportunity.