Technical Update - EURUSD uptrend cut short. GBPUSD rejected at key resistance. Dollar Index rebounding strongly Technical Update - EURUSD uptrend cut short. GBPUSD rejected at key resistance. Dollar Index rebounding strongly Technical Update - EURUSD uptrend cut short. GBPUSD rejected at key resistance. Dollar Index rebounding strongly

Technical Update - EURUSD uptrend cut short. GBPUSD rejected at key resistance. Dollar Index rebounding strongly

Forex 3 minutes to read
Kim Cramer Larsson

Technical Analyst, Saxo Bank

Summary:  EURUSD uptrend cut short. Could re-visit 1.09
GBPUSD 1.28 too strong a resistance to penetrate, correction unfolding
Dollar Index rebounding from just above 100. Eyeing 103?

EURUSD reached the 1.382 projection at 1.1130 only to be immediately rejected. Sell-off has hit this morning. A sell-off that is likely to send EURUSD down to the 0.618 retracement at around 1.0882. Just below that level the 55 and the 200 Moving Averages will offer some support.

During the bullish move to the 1.1130, level RSI has been showing divergence warning of a trend exhaustion.

However, to establish a bearish trend a close below 1.0720 is needed. Until then the sell-off could merely just be a correction.
If EURUSD is taking out last week’s peak at around 1.1140 the uptrend is resuming with potential to 1.2575-1.13 level 
Source all charts and data: Saxo Group

GBPUSD has now been reject 4 times at the 1.28 resistance. This time the rejection is resulting in the cross to be send back below the lower rising trendline.

A correction down to the 0.382 retracement at 1.2538 is quite likely. Around that level the rising 55 and 200 DMAs will give support. However, a close below 1.25 is likely to confirm a downtrend.

For GBPUSD to resume and extend the uptrend a close above 1.28 is needed.
If that scenario plays out there is room up to around1.30.

The Dollar Index is rebounding after dipping below the 0.786 retracement at 100.90 to find support  at 100.32.

Currently trading at the 0.382 retracement at 101.83 the4re is short-term potential to the 0.618 retracement at around 102.76, possibly all the way up to the 0.786 retracement at 103.42 where the declining 55 Daily Moving Average will add to the overhead resistance.

A break below 100.32 is likely to extend the bearish trend to July lows around 99.22

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 is not intended to and does not change or expand on this. 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 (
- Full disclaimer (
- Full disclaimer (

Boulevard Plaza, Tower 1, 30th floor, office 3002
Downtown, P.O. Box 33641 Dubai, UAE

Contact Saxo

Select region


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

Saxo Bank A/S is licensed by the Danish Financial Supervisory Authority and operates in the UAE under a representative office license issued by the Central bank of the UAE.

The content and material made available on this website and the linked sites are provided by Saxo Bank A/S. It is the sole responsibility of the recipient to ascertain the terms of and comply with any local laws or regulation to which they are subject.

The UAE Representative Office of Saxo Bank A/S markets the Saxo Bank A/S trading platform and the products offered by Saxo Bank A/S.