The Analytical Overview of the Main Currency Pairs on 2019.10.02

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.08982
  • Open: 1.09330
  • % chg. over the last day: +0.32
  • Day's range: 1.09273 - 1.09414
  • 52 wk range: 1.0884 - 1.1623

Yesterday, the greenback weakened against a basket of world currencies. EUR / USD quotes updated local highs. The US dollar came under pressure after the release of weak statistics. In September, manufacturing activity in the United States fell at the fastest pace in 10 years. Currently, EUR/USD quotes are consolidating in the range of 1.09100-1.09450. A trading instrument has the potential for further recovery. We recommend opening positions from key levels.

At 15:15 (GMT+3:00), investors will evaluate preliminary data on the US labor market from ADP.

EUR/USD

Indicators do not provide accurate signals: the price is consolidating near 100 MA.

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

The Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which indicates a bearish sentiment.

Trading recommendations
  • Support levels: 1.09100, 1.08800, 1.08500
  • Resistance levels: 1.09450, 1.09650, 1.09900

If the price consolidates above 1.09450, expect further correction toward 1.09800-1.10000.

Alternatively, the quotes can drop toward 1.08800-1.08700.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.22891
  • Open: 1.22933
  • % chg. over the last day: +0.02
  • Day's range: 1.22550 - 1.23097
  • 52 wk range: 1.1995 - 1.3385

The technical picture on the GBP/USD currency pair is still ambiguous. There is no defined trend. Sterling remains under pressure due to the uncertainty surrounding Brexit. Prime Minister Boris Johnson plans to submit to the EU his proposals before the end of the week. In particular, alternative regulation of the backstop issue. At the moment, the local support and resistance levels are 1.22550 and 1.23200, respectively. We do not exclude a further drop in GBP/USD quotes. Positions must be opened from key levels.

At 11:30 (GMT+3:00), the UK will publish a business activity index construction sector.

GBP/USD

Indicators do not provide accurate signals: the price crossed 50 MA.

The MACD histogram is near 0 mark. There are no signals at the moment.

The Stochastic Oscillator is in the oversold zone, the %K line crossed the %D line. There are no signals at the moment.

Trading recommendations
  • Support levels: 1.22550, 1.22000
  • Resistance levels: 1.23200, 1.23750, 1.24150

If the price consolidates below 1.22550, expect further drop in quotes toward 1.22000.

Alternatively,the quotes can grow toward 1.23600-1.23800.

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The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.32424
  • Open: 1.32217
  • % chg. over the last day: -0.17
  • Day's range: 1.32059 - 1.32236
  • 52 wk range: 1.2727 - 1.3664

The USD/CAD currency pair went down after a long consolidation. The trading tool has updated key extremes. At the moment, USD/CAD quotes are consolidating near the local support level of 1.32100. Mark 1.32350 is already a mirror resistance. The technical picture indicates a further decline in the USD/CAD currency pair. Today we recommend paying attention to economic releases from the USA, as well as to the dynamics of oil quotes. Open positions from the key levels.

The Economic News Feed for 02.10.2019:

USD/CAD

Indicators signal the strength of sellers: the price has fixed below 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.

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

Trading recommendations
  • Support levels: 1.32100, 1.31800, 1.31500
  • Resistance levels: 1.32350, 1.32600, 1.32750

If the price consolidates below 1.32100, expect a further drop toward 1.31800-1.31600.

Alternatively, the quotes could grow toward 1.32500-1.32700.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 108.080
  • Open: 107.726
  • % chg. over the last day: -0.30
  • Day's range: 107.644 - 107.894
  • 52 wk range: 104.97 - 114.56

Sales prevail on the USD/JPY currency pair. The trading tool has updated local lows. Demand for the US dollar weakened after the release of weak data on manufacturing activity in the country. At the moment, USD/JPY quotes are consolidating. The key range is 107.650-107.900. The yen has the potential for further growth relative to the greenback. We recommend that you pay attention to the dynamics of yield on US government bonds. Positions must be opened from key levels.

The Economic News Feed for 02.10.2019 is calm.

USD/JPY

Indicators do not give accurate signals: the price is consolidating near 100 MA.

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

The Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which indicates a bearish sentiment.

Trading recommendations
  • Support levels: 107.650, 107.350, 107.000
  • Resistance levels: 107.900, 108.150, 108.450

If the price consolidates below 107.650, expect a further drop in the USD/JPY quotes. The potential movement is to 107.400-107.200.

Alternatively, the quotes could grow toward 108.150-108.400.

by JustForex, 2019.10.02

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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