The Analytical Overview of the Main Currency Pairs on 2019.12.16

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.11501
  • Open: 1.11258
  • % chg. over the last day: -0.08
  • Day's range: 1.11226 - 1.11436
  • 52 wk range: 1.0879 - 1.1572

The last trading session on the EUR/USD currency pair is very active. At the same time, a unidirectional trend is not observed. At the moment, the following local support and resistance levels can be distinguished: 1.11100 and 1.11450, respectively. Monitor trade negotiations between Washington and Beijing. U.S. sales representative Robert Lighthizer provides the opportunity to sign the first phase of the agreement in early January 2020. Today in Germany and the eurozone. Open positions from key levels.

The Economic News Feed for 16.12.2019:

  • - Business Activity Report (GER/EU) – 10:30/11:00 (GMT+2:00);
EUR/USD

Indicators do not provide accurate signals: the price crossed 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 EUR/USD.

The Stochastic Oscillator is in the overbought zone, the %K line has crossed the %D line. There are currently no signals.

Trading recommendations
  • Support levels: 1.11100, 1.10900, 1.10700
  • Resistance levels: 1.11450, 1.11850, 1.12000

If the price consolidates above 1.11450, expect further growth toward 1.11800-1.12000.

Alternatively, the quotes could drop toward 1.10800-1.10600.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.33362
  • Open: 1.33390
  • % chg. over the last day: +1.23
  • Day's range: 1.33370 - 1.34222
  • 52 wk range: 1.1959 - 1.3516

Last week, sterling strengthened significantly against the US dollar. Demand for the pound rose after the victory of the ruling conservative party in the election. At the moment, GBP/USD quotes have stabilized. Market participants expect up-to-date information on Brexit. Today, investors will evaluate important economic releases from the UK. In the near future, technical correction of the trading instrument is not ruled out. Open positions from main levels.

At 11:30 (GMT+2:00) a number business activity indicators in the UK will be published.

GBP/USD

Indicators signal the power of buyers: the price has fixed above 50 MA and 100 MA.

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

The Stochastic Oscillator is in the overbought zone, the %K line has crossed the %D line. There are currently no signals.

Trading recommendations
  • Support levels: 1.33100, 1.32250, 1.31650
  • Resistance levels: 1.34200, 1.35000

If the price consolidates above 1.34200, expect the quotes to grow toward 1.35000-1.35400.

Alternatively, the quotes could descend toward 1.32600-1.32300.

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The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.31830
  • Open: 1.31719
  • % chg. over the last day: -0.12
  • Day's range: 1.31423 - 1.31862
  • 52 wk range: 1.3014 - 1.3664

The USD/CAD currency pair continues to be traded in a flat. There is no defined trend. At the moment, quotes are testing the support level of 1.31450. 1.31750 is the nearest resistance. Looney is supported by bullish sentiment in the oil market. The trading instrument has the potential to further decline. Open positions from key levels.

The Economic News Feed for 16.12.2019 is calm.

USD/CAD

Indicators signal the power of sellers: the price has fixed below 50 MA and 100 MA.

The MACD histogram has moved into the negative zone, which also indicates a bearish sentiment.

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

Trading recommendations
  • Support levels: 1.31450, 1.31000
  • Resistance levels: 1.31750, 1.32000, 1.32250

If the price consolidates below 1.31450, expect the quotes to drop toward 1.31000.

Alternatively, the quotes could grow toward 1.31900-1.32100.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 109.197
  • Open: 109.292
  • % chg. over the last day: +0.06
  • Day's range: 109.277 - 109.444
  • 52 wk range: 104.45 - 113.53

USD/JPY stabilized after a significant increase last week. Demand for the “safe haven” currencies weakened amid the prospects for a settlement of the trade conflict between Washington and Beijing. The trading instrument is currently consolidating. The local support and resistance levels are 109.250 and 109.450, respectively. In the near future, a technical correction of the USD/JPY currency pair is possible. We recommend that you pay attention to the dynamics of yield on US government bonds. Open positions from key levels.

The Economic News Feed for 16.12.2019 is calm.

USD/JPY

The price has fixed above 50 MA and 100 MA, which signals the power of buyers.

The MACD histogram is close to 0. There are no signals at the moment.

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

Trading recommendations
  • Support levels: 109.250, 109.050, 108.900
  • Resistance levels: 109.450, 109.700

If the price consolidates above 109.450, expect the quotes to grow toward 109.700-110.000.

Alternatively, the quotes could descend toward 109.100-108.900.

by JustForex, 2019.12.16

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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