Forecast for the EUR/USD currency pair

Technical indicators of the currency pair:

Prev Opening: 1.06638
Opening: 1.06443
Chg. % Last day: -0.18
Day range: 1.06378 – 1.06602
52-week range: 1.0366 – 1.1616

Since the beginning of this week, EUR/USD is being traded in a flat with a fairly narrow range. We can identify the key support and resistance levels: 1.06400 and 1.06750. Today, the attention is focused on the report on the labor market in the US and the press conference of D. Trump and the PRC President. Preliminary statistics from ADP turned out to be positive.

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The MACD histogram is in the negative zone, but above the signal line, which gives a weak signal to sell EUR/USD.

Stochastic Oscillator has fixed in the neutral zone, the %K line crossed the %D line. There are no signals yet.

Today we expect important statistics from the US:
– average hourly wage (15:30 GMT+3:00);
– change in the number of employed in the non-agricultural sector of the country (15:30 GMT+3:00);
– the proportion of the economically active population (15:30 GMT+3:00);
– unemployment level (15:30 GMT+3:00).

Trading recommendations:

Support levels: 1.06400
Resistance levels: 1.06750, 1.07600

We recommend reducing risks when opening positions. High volatility and trading activity will occur in the market.

If the report on the labor market in the US is positive, a downward trend may develop on the EUR/USD currency pair. The potential for movement – 1.05500.
An alternative may be the EUR/USD correction to the level of 1.07500-1.07600.

Forecast for the GBP/USD currency pair

Technical indicators of the currency pair:

Prev Opening: 1.24827
Opening: 1.24676
Chg. % Last day: -0.10
Day range: 1.24522 – 1.24773
52-week range: 1.1986 – 1.5020

During yesterday’s trading, the GBP/USD currency pair tested key levels: 1.24500 and 1.25000. At the moment, the technical pattern is ambiguous. We expect economic reports from the UK.

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The MACD histogram does not provide accurate signals. The indicator has fixed near the 0 mark.

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, indicating a “bearish” moods on GBP/USD.

News feed from Britain:
– the volume of production in the manufacturing industry (11:30 GMT+3:00);
– the trade balance (11:30 GMT+3:00);
– the Bank of England Carney`s speech (12:00 GMT+3:00);
– an estimate of GDP growth from NIESR (15:00 GMT+3:00).

It is also necessary to pay attention to economic data from the US.

Trading recommendations:

Support levels: 1.24500, 1.24000
Resistance levels: 1.25000, 1.25500

We recommend looking for entry points to the market from key levels. If the GBP/USD quotes consolidate above the round level of 1.25000, an upward trend may develop to the level of 1.25500.

If the price overcomes the support level of 1.24500, the “bearish” moods will prevail on the GBP/USD currency pair. The target level of movement is to 1.24000.

Forecast for the USD/CAD currency pair

Technical indicators of the currency pair:

Prev Opening: 1.34316
Opening: 1.34131
Chg. % Last day: -0.26
Day range: 1.33934 – 1.34311
52-week range: 1.2458 – 1.4692

Yesterday, the USD/CAD currency pair kept a key resistance level of 1.34500, which caused a downward trend. At the moment, the Canadian dollar is testing a round level of 1.34000. We expect statistics on the labor market in the US and Canada.

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The MACD histogram is in the negative zone and below the signal line, indicating a drop in the USD/CAD quotes.

Stochastic Oscillator has fixed near the oversold zone, the %K line crossed the %D line. There are no signals yet.

News background on the economy of Canada:
– change in employment (15:30 GMT+3:00);
– the unemployment level (15:30 GMT+3:00);
– the BoC Governor Poloz speech (17:00 GMT+3:00);
– index of business activity Ivey (17:00 GMT+3:00).

Trading recommendations:

Support levels: 1.34000, 1.33550
Resistance levels: 1.34500

If the statistics from Canada is strong, a downward trend may develop on the USD/CAD currency pair. The potential for movement is to 1.33500-1.33200.

An alternative may be “bullish” moods on the USD/CAD currency pair. The target level of movement is 1.34500-1.34750.

The forecast for USD/JPY

Technical indicators of the currency pair:

Prev. Opening: 110.699
Opening: 110.785
Chg. % Last day: +0.10
Day Range: 110.125 – 110.998
52-week range: 99.08 – 123.69

In the Asian session, there was an increased demand for the yen. At the moment, the US dollar won back most of the losses. The USD/JPY currency pair is being traded near the resistance level of 110.750. The key support level is 110.200.

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Indicators signals are ambiguous. The MACD histogram has fixed in the negative zone and continues to decline, indicating a “bearish” moods on USD/JPY.

Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which gives a signal to buy USD/JPY.

The news background on the economy of Japan is calm today. It is necessary to pay attention to the news line from the US.

Trading recommendations:

Support levels: 110.200
Resistance levels: 110.750, 111.300

If the report on the labor market in the US is weak, the downward trend on USD/JPY may continue to the level of 110.000-109.750.

An alternative may be the USD/JPY correction to the resistance level of 111.300.