The EUR/USD currency pair
Technical indicators of the currency pair:
Prev Open: 1.08823
Open: 1.10002
% chg. over the last day: +1.06
Day’s range: 1.09823 – 1.10081
52 wk range: 1.0879 – 1.1572
The EUR/USD currency pair shows a pronounced upward trend. The demand for greenback has decreased. Investors made a bet that the Fed may lower interest rates to compensate for the impact of the spreading coronavirus. Yesterday the growth of quotations exceeded 1%. Euro reached the round level of 1.10,000. The mark 1.09650 is a local support. We do not rule out further recovery of the single currency. We expect important economic releases from Germany and USA. Positions should be opened from key levels.
The Economic News Feed for 28.02.2020:
German labour market report – 10:55 (GMT+2:00);
expenditures of individuals in the USA – 15:30 (GMT+2:00).
The indicators signal the strength of buyers: the price has fixed above 50 MA and 100 MA.
MACD histogram is in the positive zone, which gives a signal to buy EUR/USD.
The Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which also indicates a bullish sentiment.
Trading recommendations
Support levels: 1.09650, 1.09100, 1.08600
Resistance levels: 1.10100, 1.10500
If the price fixes above 1.10100, further growth of EUR/USD quotes is expected to 1.10400-1.10600.
Alternatively, the quotes could descend toward 1.09300-1.09100.
The GBP/USD currency pair
Technical indicators of the currency pair:
Prev Open: 1.28956
Open: 1.28811
% chg. over the last day: -0.14
Day’s range: 1.28694 – 1.28966
52 wk range: 1.1959 – 1.3516
Bearish sentiment prevails on GBP/USD currency pair. Sterling reached key lows (1.28550). The round level 1.29000 is already a mirror resistance. At the moment the trading instrument is consolidating. GBP/USD quotes have potential for further decline. It is recommended to keep track of the current information regarding the trade negotiations between the UK and the EU. Positions should be opened from key levels.
The Economic News Feed for 28.02.2020 is calm.
The indicators signal the sellers’ strength: the price has fixed below 50 MA and 100 MA.
MACD histogram is in the negative zone and continues to decline, which gives a strong signal to sell GBP/USD.
The 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: 1.28550, 1.28000
Resistance levels: 1.29000, 1.29400, 1.29750
If the price fixes below 1.28550, expect the quotes to fall toward 1.28000.
Alternatively, the quotes could recover toward 1.29300-1.29600.
The USD/CAD currency pair
Technical indicators of the currency pair:
Prev Open: 1.33292
Open: 1.33906
% chg. over the last day: +0.43
Day’s range: 1.33789 – 1.34486
52 wk range: 1.2949 – 1.3566
Aggressive purchases are observed on the USD/CAD currency pair. During yesterday’s and today’s trades quotations growth exceeded 100 points. The CAD is under pressure from a significant drop in oil prices. The trading instrument found resistance at 1.34500. 1.34000 is the nearest support. USD/CAD quotes have potential for further growth. We expect important economic reports from Canada. Positions should be opened from key levels.
At 15:30 (GMT+2:00) will be published data on Canadian GDP.
The indicators signal the strength of buyers: the price has fixed above 50 MA and 100 MA.
The MACD histogram is in the positive zone and above the signal line, which gives a strong signal to buy USD/CAD.
The Stochastic Oscillator is located in the overbought zone, the %K line crosses the %D line. There are no signals at the moment.
Trading recommendations
Support levels: 1.34000, 1.33450, 1.33100
Resistance levels: 1.34500, 1.35000
If the price fixes above 1.34500, further growth of USD/CAD quotes is expected. Potential of movement to the round level 1.35000.
Alternatively, the quotes could descend toward 1.33700-1.33500.
The USD/JPY currency pair
Technical indicators of the currency pair:
Prev Open: 110.401
Open: 109.590
% chg. over the last day: -0.72
Day’s range: 108.795 – 109.682
52 wk range: 104.45 – 113.53
USD/JPY quotes show a stable downtrend. During yesterday’s and today’s trades the yen added more than 150 points in price against the US dollar. Demand for safe haven currencies remains at a high level due to growing risks of further spread of coronavirus. Currently, USD/JPY quotes are consolidated in the range 108.800-109.300. We recommend to pay attention to the dynamics of US government securities yield. Positions should be opened from key levels.
Mixed economic reports from Japan were published during the Asian trading session.
The indicators signal the sellers’ strength: the price has fixed below 50 MA and 100 MA.
MACD histogram is in the negative zone, which gives a sell signal for USD/JPY.
The Stochastic Oscillator is located in the oversold area, the %K line crosses the %D line. There are no signals at the moment.
Trading recommendations
Support levels: 108.800, 108.400, 108.000
Resistance levels: 109.300, 109.650, 110.200
If the price fixes below 108.800, expect the quotes to fall toward 108.500-108.300.
Alternatively, the quotes could grow toward 109.700-110.000.
