The Analytical Overview of the Main Currency Pairs on 2018.09.14

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.16251
  • Open: 1.16891
  • % chg. over the last day: +0.56
  • Day's range: 1.16864 – 1.17142
  • 52 wk range: 1.0571 – 1.2557

The ECB, as expected, kept the main parameters of monetary policy at the same level. The regulator worsened the forecast for GDP growth for 2018-2019, and also expressed concern about the trade conflict and the unstable situation in the markets of developing countries. The US published a weak inflation report, which put pressure on the US currency. Yesterday, the bullish sentiment prevailed on the EUR/USD currency pair. The growth of quotes exceeded 70 points. At the moment, the trading instrument is consolidating in the range of 1.16850-1.17150. The EUR/USD currency pair has the potential for further growth. Positions should be opened from the key levels.

The news feed on 2018.09.14:

At 15:30 (GMT+3:00) we expect a report on retail sales in the US.

EUR/USD

Indicators point to the power of buyers: the price has fixed above 50 MA and 200 MA.

The MACD histogram is in the positive zone and continues to rise, which indicates the bullish sentiment.

Stochastic Oscillator is located near the overbought zone, the %K line is above the %D line, which gives a weak signal to buy EUR/USD.

Trading recommendations
  • Support levels: 1.16850, 1.16450, 1.16150
  • Resistance levels: 1.17150, 1.17500

If the price fixes above the resistance level of 1.17150, further growth of the EUR/USD quotes is expected. The movement is tending to 1.17500-1.17750.

An alternative may be the decrease of the EUR/USD currency pair to 1.16850-1.16700.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.30379
  • Open: 1.31061
  • % chg. over the last day: +0.48
  • Day's range: 1.31021 – 1.31313
  • 52 wk range: 1.2361 – 1.4345

The GBP/USD currency pair shows positive dynamics. Yesterday, the growth of quotes exceeded 75 points. The Bank of England, as expected, kept the range of the key interest rate at the previous level of 0.75%. At the moment, the key support and resistance levels are: 1.30850 and 1.31350, respectively. The trading instrument has the potential for further growth. Positions should be opened from the key levels.

At 13:00 (GMT+3:00) the speech by the Bank of England governor Carney will take place.

GBP/USD

The price has fixed above 50 MA and 200 MA, which signals the power of buyers.

The MACD histogram is located in the positive zone, but below the signal line, which gives a weak 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: 1.30850, 1.30300, 1.29800
  • Resistance levels: 1.31350, 1.31600

If the price fixes above the resistance level of 1.31350, further growth of the GBP/USD quotes is expected. The movement is tending to 1.31600-1.31750.

An alternative may be the decrease of the GBP/USD currency pair to 1.30850-1.30750.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.29927
  • Open: 1.29937
  • % chg. over the last day: +0.07
  • Day's range: 1.29827 – 1.30075
  • 52 wk range: 1.2059 – 1.3795

At the moment, the USD/CAD currency pair is consolidating. A unidirectional trend is not observed. Financial market participants expect additional drivers. The trading instrument is testing local support and resistance levels: 1.29850 and 1.30200, respectively. The USD/CAD quotes have the potential for further decline. We recommend monitoring the current information regarding NAFTA negotiations.

The news feed on the economy of Canada is calm.

USD/CAD

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

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 is above the %D line, which indicates the bullish sentiment.

Trading recommendations
  • Support levels: 1.29850, 1.29500, 1.29200
  • Resistance levels: 1.30200, 1.30500, 1.30750

If the price fixes below the local support of 1.29850, the USD/CAD quotes are expected to fall. The movement is tending to 1.29500-1.29200.

Alternative option. If the price fixes above the 1.30200 mark, it is necessary to look for entry points to the market to open long positions. The target movement level is 1.30500-1.30750.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 111.259
  • Open: 111.921
  • % chg. over the last day: +0.68
  • Day's range: 111.786 – 112.077
  • 52 wk range: 104.56 – 114.74

Yesterday, aggressive purchases of USD/JPY were observed. The growth of quotes exceeded 70 points. At the moment, the trading instrument is moving in flat. Local support and resistance levels are 111.800 and 112.100, respectively. The positions should be opened from these marks. We recommend paying attention to the news feed on the US economy.

The publication of important economic reports from Japan is not planned.

USD/JPY

The price has fixed above 50 MA and 200 MA, which signals the power of buyers.

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

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

Trading recommendations
  • Support levels: 111.800, 111.650, 111.300
  • Resistance levels: 112.100, 112.500

If the price fixes above the resistance level of 112.100, further growth of the USD/JPY quotes is expected. The movement is tending to 112.500-112.750.

Alternative option. If the price fixes below the level of 111.800, we recommend looking for entry points to the market to open short positions. The target movement level is 111.500-111.300.

by JustForex, 2018.09.14

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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