The Analytical Overview of the Main Currency Pairs on 2018.08.06

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.15835
  • Open: 1.15699
  • % chg. over the last day: -0.15
  • Day's range: 1.15537 – 1.15657
  • 52 wk range: 1.0571 – 1.2557

On Friday, there was a variety of trends on the EUR/USD currency pair. Ambiguous economic reports on the US labor market were published. At the moment, the EUR/USD currency pair is consolidating. Demand for the US dollar is still high. The key support and resistance levels are 1.15500 and 1.15750, respectively. We recommend opening positions from these marks.

Today, the publication of important news from the US and the Eurozone is not expected.

EUR/USD

The price has fixed below 50 MA and 200 MA, which indicates the power of sellers.

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

Stochastic Oscillator is in the neutral zone, the %K is above the %D line, which indicates the bullish sentiment.

Trading recommendations
  • Support levels: 1.15500, 1.15000
  • Resistance levels: 1.15750, 1.16100, 1.16400

If the price fixes below the support level of 1.15500, the EUR/USD quotes are expected to fall. The movement is tending to 1.15100-1.14900.

Alternative option. If the price fixes above the resistance level of 1.15750, it is necessary to consider purchases of EUR/USD. The movement is tending to 1.16100-1.16400.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.30115
  • Open: 1.29952
  • % chg. over the last day: -0.05
  • Day's range: 1.29723 – 1.29996
  • 52 wk range: 1.2361 – 1.4345

Last week, aggressive sales were observed on the GBP/USD currency pair. It should be recalled that the Bank of England raised the key interest rate by 25 basis points to 0.75%. At the same time, the regulator said that in the near future the issue of further tightening of the monetary policy would not be considered. The central bank is concerned about the consequences of Brexit. At the moment, the GBP/USD quotes are moving in the range of 1.29650-1.30000. The positions should be opened from these marks.

The news feed on the UK economy is calm.

GBP/USD

Indicators point to the power of sellers. The price has fixed below 50 MA and 200 MA.

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

Stochastic Oscillator is located in the neutral zone, the %K line is crossing the %D line. There are no accurate signals.

Trading recommendations
  • Support levels: 1.29650, 1.29300
  • Resistance levels: 1.30000, 1.30400, 1.30800

If the price fixes below 1.29650, it is necessary to look for entry points to the market to open short positions. The movement is tending to 1.29300-1.29000.

Alternative option. If the price fixes above the already "mirror" resistance of 1.30000, the GBP/USD quotes are expected to rise. The movement is tending to 1.30400-1.30600.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.30187
  • Open: 1.29925
  • % chg. over the last day: +0.18
  • Day's range: 1.30013 – 1.30103
  • 52 wk range: 1.2059 – 1.3795

The technical pattern on the USD/CAD currency pair is still ambiguous. On Friday, a positive report on Canada's trade surplus was published. At the moment, the trading instrument is in a sideways trend. Local support and resistance levels are 1.29900 and 1.30200, respectively. We recommend opening positions from these marks.

The news feed on the economy of Canada is calm.

USD/CAD

Indicators do not send accurate signals. The price is testing 50 MA.

The MACD histogram is near 0 mark.

Stochastic Oscillator is located in the neutral zone, the %K line has crossed the %D line. There are no accurate signals.

Trading recommendations
  • Support levels: 1.29900, 1.29600
  • Resistance levels: 1.30200, 1.30600, 1.31000

If the price fixes above the resistance level of 1.30200, we recommend considering purchases of USD/CAD. The target movement level is 1.30600-1.30800.

Alternative option. If the price fixes below 1.29900, the USD/CAD quotes are expected to decline. The movement is tending to 1.29600-1.29400.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 111.634
  • Open: 111.214
  • % chg. over the last day: -0.35
  • Day`s range: 111.231 – 111.267
  • 52 wk range: 104.56 – 114.74

On Friday, there were aggressive sales on the USD/JPY currency pair. The decrease in quotes exceeded 60 points. At the moment, the USD/JPY quotes are consolidating. The trading instrument has the potential for further reduce. Local support and resistance levels are 111.150 and 111.400, respectively. The positions should be opened from these marks.

The news feed on the economy of Japan is calm.

USD/JPY

Indicators do not send accurate signals. The price has crossed 200 MA.

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

Stochastic Oscillator is located in the neutral zone, the %K line is below the %D line, which also indicates a decline in quotes.

Trading recommendations
  • Support levels: 111.150, 110.850, 110.650
  • Resistance levels: 111.400, 111.700, 112.000

If the price fixes below 111.150, the USD/JPY quotes are expected to fall. The movement is tending to 110.850-110.650.

Alternative option. If the price fixes above 111.400, it is necessary to consider purchases of USD/JPY. The movement is tending to 111.700-112.000.

by JustForex, 2018.08.06

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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