The Analytical Overview of the Main Currency Pairs on 2018.01.24

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.22610
  • Open: 1.22986
  • % chg. over the last day: +0.38
  • Day's range: 1.23029 – 1.23095
  • 52 wk range: 1.0492 – 1.2296

During yesterday's trading, the EUR/USD currency pair increased significantly against the euro strengthening and the US dollar weakening. The growth of quotes exceeded 100 points. At the moment, the EUR/USD currency pair is consolidating in the range of 1.22800-1.23300. Investors took a wait-and-see position before the ECB meeting on Thursday. We recommend opening positions from the key levels.

The news feed on 2018.01.24:

  • - Statistics on business activity in Germany and the Eurozone at 10:30 (GMT+2:00) and 11:00 (GMT+2:00), respectively;
    - Existing home sales in the US at 17:00 (GMT+2:00).
EUR/USD

The signals of the indicators are different. The price has fixed above 50 MA and 200 MA, which indicates bullish sentiment.

The MACD histogram is in the positive zone, but below the signal line, which gives a weak signal to buy EUR/USD.

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which signals to sell EUR/USD.

Trading recommendations
  • Support levels: 1.22800, 1.22250, 1.21650
  • Resistance levels: 1.23300, 1.23600

If the price fixes below the support level of 1.22800, we recommend looking for entry points to the market to open short positions. The movement is tending potentially to 1.22400-1.22200.

Alternative option. If the price fixes above 1.23300, it is necessary to consider purchases of EUR/USD. The target movement level is 1.23700-1.23900.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.39834
  • Open: 1.40034
  • % chg. over the last day: +0.19
  • Day's range: 1.40278 – 1.40773
  • 52 wk range: 1.2014 – 1.3820

Yesterday, the GBP/USD currency pair showed a variety of trends. At the moment, the price is testing the local resistance level of 1.40800. The round level of 1.40000 is already a "mirror" support. Investors expect important statistics from the UK. We recommend opening positions from the key levels.

At 11:30 (GMT+2:00) a report on the UK labor market will be published.

GBP/USD

The price has fixed above 50 MA and 200 MA, which indicates bullish sentiment.

The MACD histogram is in the positive zone, above the signal line, which gives a strong signal to buy GBP/USD.

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: 1.40300, 1.39800, 1.38600
  • Resistance levels: 1.40800, 1.41200

If the price continues to rise and fixes above the local resistance of 1.40800, we recommend considering purchases of GBP/USD. The movement is tending potentially to 1.41200-1.41400.

An alternative may be the fall of the GBP/USD currency pair to 1.39800-1.39600.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.24430
  • Open: 1.24189
  • % chg. over the last day: -0.23
  • Day's range: 1.23686 – 1.24113
  • 52 wk range: 1.2059 – 1.3795

There is a pronounced downward trend on the USD/CAD currency pair. During yesterday's and today's trading, the USD/CAD quotes fell by 100 points. In the near future, technical correction is not excluded. Local support and resistance levels are 1.23700 and 1.24100, respectively. It is necessary to open positions from the key levels.

The news feed on Canada's economy is calm today.

USD/CAD

Indicators indicate the power of sellers. The price is below 50 MA and 200 MA, which indicates a bearish sentiment.

The MACD histogram is in the negative zone, below the signal line, which gives a strong signal to sell USD/CAD.

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which also gives a signal to sell.

Trading recommendations
  • Support levels: 1.23700, 1.23300
  • Resistance levels: 1.24100, 1.24500, 1.25900

If the USD/CAD quotes continue to fall, one should consider sales. The movement is tending potentially to 1.23300-1.23100.

Alternative option. If the USD/CAD currency pair starts to rise, we recommend looking for entry points to the market to open long positions. The target movement level is 1.24500-1.24700.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 110.912
  • Open: 110.315
  • % chg. over the last day: -0.72
  • Day's range: 110.239 – 111.327
  • 52 wk range: 107.33 – 115.62

During yesterday's trading, the yen strengthened significantly against the US dollar, as a result the USD/JPY currency pair fell. The drop in quotes exceeded 100 points. In the near future, technical correction is not excluded. At the moment, the USD/JPY quotes are being traded in the range of 109.600-110.000. The positions must be opened from these marks.

We recommend paying attention to the news feed on the US economy.

USD/JPY

Indicators point to the power of sellers. The price has fixed below 50 MA and 200 MA, which indicates a bearish sentiment.

The MACD histogram is in the negative zone and below the signal line, which gives a signal to sell USD/JPY.

Stochastic Oscillator is close to the oversold zone, the %K line is below the %D line, which gives a weak signal to sell USD/JPY.

Trading recommendations
  • Support levels: 109.600, 109.350
  • Resistance levels: 110.000, 110.500, 111.000

If the price fixes below the local support of 109.600, we recommend considering sales of USD/JPY. The movement is tending potentially to 109.200-109.000.

An alternative may be the growth of the USD/JPY quotes to the level of 110.000-110.250.

by JustForex, 2018.01.24

We recommend you to get acquainted with the daily overview of the news feed.

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

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