Technical Update - GBPUSD, EURGBP, EURUSD and Dollar Index Technical Update - GBPUSD, EURGBP, EURUSD and Dollar Index Technical Update - GBPUSD, EURGBP, EURUSD and Dollar Index

Technical Update - GBPUSD, EURGBP, EURUSD and Dollar Index

Forex 4 minutes to read
KCL
Kim Cramer Larsson

Technical Analyst, Saxo Bank

Summary:  GBPUSD breaking higher eyeing 1.2745
EURGBP could be reversing uptrend
EURUSD testing key resistance level
Dollar Index likely to test key support at 104


GBPUSD closed above strong resistance at around 1.2546 Friday and has continued the upwards move this morning
RSI has made new highs thus cancelling its divergence indicating likely new higher GBPUSD levels. in coming days and weeks.

A move to the 0.618 retracement at 1.2720 and the resistance at around a1.2745 seems highly likely

To reverse the bullish trend a close below 1.2445 is needed

gbpusd d 2711
Source all charts and data: Saxo Group

EURGBP has broken below its lower rising trendline and is now back below 200 DMA. Support at around 0.8640, a close below and an RSI closing below 40 the bearish scenario is confirmed with potential down to June-August lows around 0.85

Close A break above 0.8765 will extend the current bullish trend with resistance at around 0.8820-0.8875.

 

eurgbp d 2711

EURUSD is once again testing the 0.681 retracement at 1.0960 and last week’s peak at 1.0965. A close is likely to lead to a bullish move to the 0.786 retracement at around 1.11

There is currently minor divergence on the RSI but if RSI is closing above the horizontal blue line it will be cancelled paving the road for higher EURUSD levels
A close below 1.0850 the bullish trend is set to reverse with a bearish move to 1.08-1.0762 to be likely

eurusd d 2711

The Dollar Index key support at around 103 seems likely to be tested once again. A close below there is no strong support until around 101.62
The 0.618 retracement at around 102.21 will offer some support, however.

A close above 104.12 will demolish the bearish picture and a close above 104.44 is likely to result in a trend reversal

USDIndex d 2711

Disclaimer

The Saxo Bank Group entities each provide execution-only service and access to Analysis permitting a person to view and/or use content available on or via the website. This content is not intended to and does not change or expand on the execution-only service. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Saxo News & Research and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to Saxo News & Research is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Saxo News & Research or as a result of the use of the Saxo News & Research. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. Saxo News & Research does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws.

Please read our disclaimers:
Notification on Non-Independent Investment Research (https://www.home.saxo/legal/niird/notification)
Full disclaimer (https://www.home.saxo/legal/disclaimer/saxo-disclaimer)
Full disclaimer (https://www.home.saxo/legal/saxoselect-disclaimer/disclaimer)

Saxo Bank A/S (Headquarters)
Philip Heymans Alle 15
2900
Hellerup
Denmark

Contact Saxo

Select region

International
International

Trade responsibly
All trading carries risk. Read more. To help you understand the risks involved we have put together a series of Key Information Documents (KIDs) highlighting the risks and rewards related to each product. Read more

This website can be accessed worldwide however the information on the website is related to Saxo Bank A/S and is not specific to any entity of Saxo Bank Group. All clients will directly engage with Saxo Bank A/S and all client agreements will be entered into with Saxo Bank A/S and thus governed by Danish Law.

Apple and the Apple logo are trademarks of Apple Inc, registered in the US and other countries and regions. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.