The EUR/USD currency pair
Technical indicators of the currency pair:
Prev Open: 1.17076
Open: 1.17170
% chg. over the last day: +0.10
Day’s range: 1.17031 – 1.17250
52 wk range: 1.0637 – 1.2012
There is an ambiguous technical pattern on the EUR/USD currency pair. The trading instrument is consolidating. Investors expect additional drivers. At the moment, the following local support and resistance levels can be distinguished: 1.1690 and 1.1725, respectively. Financial market participants also continue to monitor discussions on new economic stimulus in the US before the November 3 presidential election. Financial markets are under pressure due to the coronavirus pandemic. The number of infected in the world has approached the 40 million mark. Positions should be opened from key levels.
The news feed on 2020.10.19:
Today, we recommend paying attention to the speeches by the heads of the ECB and the Fed.
Indicators do not give accurate signals: the price has crossed the 50 MA.
The MACD histogram is near the 0 mark.
Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which indicates the bullish sentiment.
Trading recommendations
Support levels: 1.1690, 1.1650
Resistance levels: 1.1725, 1.1745, 1.1765
If the price fixes below 1.1690, EUR/USD quotes are expected to fall further. The movement is tending to 1.1650-1.1630.
An alternative could be the growth of the EUR/USD currency pair to 1.1745-1.1770.
The GBP/USD currency pair
Technical indicators of the currency pair:
Prev Open: 1.28972
Open: 1.28935
% chg. over the last day: -0.02
Day’s range: 1.28935 – 1.29801
52 wk range: 1.1409 – 1.3516
The technical pattern on the GBP/USD currency pair is still ambiguous. The British pound is still being traded in a flat with a quite wide range. At the moment, the local support and resistance levels are 1.2940 and 1.2980, respectively. The deadline for Brexit negotiations was scheduled for October 15, and the deal failed to close. Financial market participants expect new statements by the British Prime Minister regarding the country’s exit from the EU. Positions should be opened from key levels.
The publication of important UK economic releases is not planned.
Indicators do not give accurate signals: the price has crossed the 50 MA and 100 MA.
The MACD histogram has started rising, which indicates the development of bullish sentiment.
Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which gives a signal to buy GBP/USD.
Trading recommendations
Support levels: 1.2940, 1.2890, 1.2850
Resistance levels: 1.2980, 1.3005, 1.3045
If the price fixes above 1.2980, the GBP/USD currency pair is expected to grow. The movement is tending to 1.3010-1.3040.
An alternative could be a drop in GBP/USD quotes to 1.2900-1.2870.
The USD/CAD currency pair
Technical indicators of the currency pair:
Prev Open: 1.32247
Open: 1.31880
% chg. over the last day: -0.24
Day’s range: 1.31682 – 1.31908
52 wk range: 1.2949 – 1.4669
The USD/CAD currency pair is consolidating. Local support and resistance levels are 1.3160 and 1.3200, respectively. The technical pattern signals a further correction of the trading instrument after a significant drop since the beginning of the current month. We recommend paying attention to the dynamics of “black gold” prices. Positions should be opened from key levels.
At 15:30 (GMT+3:00), data on wholesale sales in Canada will be published.
Indicators do not give accurate signals: the price has fixed between 50 MA and 100 MA.
The MACD histogram is in the negative zone, but above the signal line, which gives a weak signal to sell USD/CAD.
Stochastic Oscillator is in the neutral zone, the %K line has crossed the %D line. There are no signals at the moment.
Trading recommendations
Support levels: 1.3160, 1.3125, 1.3100
Resistance levels: 1.3200, 1.3240, 1.3260
If the price fixes above 1.3200, further correction of USD/CAD quotes is expected. The movement is tending to 1.3240-1.3260.
An alternative could be a decrease in the USD/CAD currency pair to 1.3125-1.3100.
The USD/JPY currency pair
Technical indicators of the currency pair:
Prev Open: 105.437
Open: 105.364
% chg. over the last day: -0.04
Day’s range: 105.364 – 105.502
52 wk range: 101.19 – 112.41
The USD/JPY currency pair is still in a sideways trend. There is no defined trend. USD/JPY quotes continue to test local support and resistance levels: 105.20 and 105.50, respectively. The trading instrument has the potential for growth. We recommend paying attention to the dynamics of US government bonds yield. Positions should be opened from key levels.
During the Asian trading session, weak data on Japan’s trade balance were published.
Indicators do not give accurate signals: 50 MA has crossed 100 MA.
The MACD histogram is in the positive zone, which indicates the bullish sentiment.
Stochastic Oscillator is in the neutral zone, the %K line has crossed the %D line. There are no signals at the moment.
Trading recommendations
Support levels: 105.20, 105.05, 104.70
Resistance levels: 105.50, 105.65, 105.80
If the price fixes above 105.50, USD/JPY quotes are expected to grow. The movement is tending to 105.70-105.90.
An alternative could be a decline in the USD/JPY currency pair to 105.00-104.80.
