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EUR/USD breaks trend line, downside risks build – Société Générale

EUR/USD lost upward traction after failing to clear 1.1920 in September and has now broken below a key ascending trend line. With the pair trading near its 50-day moving average and resistance forming around 1.1820, downside risks persist toward 1.1600 and potentially 1.1500, Société Générale's FX analysts note.

EUR/USD momentum fades as 50-DMA comes into view

"EUR/USD faced strong resistance near 1.1920 in September and swiftly retreated into its previous consolidation range, underscoring a lack of sustained upward momentum. It has breached a multi-month ascending trend line, extending its decline toward the 50-DMA."

"The recent lower high around 1.1820 may act as resistance. Failure to overcome this level could result in continued decline, with next objectives at the late August lows of 1.1600/1.1570 and 1.1500."

USD/JPY: Keeping watch on MoF rhetoric – OCBC

USD/JPY stays better bid, as market partially pare back Oct hike expectations. Etsuro Honda, who advises PM-to-be Takaichi said that a rate hike in October is probably difficult.
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AUD/USD: Expected to trade in a narrower range of 0.6555/0.6640 – UOB Group

The underlying tone appears to have firmed somewhat; Australian Dollar (AUD) may edge higher, but any advance is likely part of a higher range of 0.6595/0.6630.
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