The Analytical Overview of the Main Currency Pairs on 2019.12.18

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.11541
  • Open: 1.11493
  • % chg. over the last day: -0.03
  • Day's range: 1.11293 – 1.11542
  • 52 wk range: 1.0879 – 1.1572

The technical pattern on the EUR/USD currency pair is still mixed. The trading instrument is in lateral movement. The local support and resistance levels are 1.11250 and 1.11550, respectively. Financial market participants are waiting for new information regarding trade negotiations between the US and China. Today, investors will evaluate important statistical data from Germany and the eurozone. We recommend opening positions from key levels.

The Economic News Feed for 18.12.2019:

  • - Business Climate Index by IFO (GER) – 11:00 (GMT+2:00);
  • - Inflation Report (EU) – 12:00 (GMT+2:00);
EUR/USD

Indicators do not give accurate signals: 50 MA has crossed 100 MA.

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

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: 1.11250, 1.11100, 1.10900
  • Resistance levels: 1.11550, 1.11850, 1.12000

If the price consolidates above 1.11550, expect an uprising toward 1.11800-1.12000.

Alternatively, the quotes could drop toward 1.10900-1.10700.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.33205
  • Open: 1.31253
  • % chg. over the last day: -1.57
  • Day's range: 1.30724 - 1.31342
  • 52 wk range: 1.1959 - 1.3516

Sterling continues to lose ground against the US dollar. Since the beginning of this week, the drop in quotations exceeded 250 points. The trading instrument has set new local lows. The UK government is planning to rule out the possibility of extending the Brexit transition period after 2020. Currently, GBP / USD quotes are consolidating in the range of 1.30800-1.31650. A trading instrument has the potential to further decline. Open positions from key levels.

At 11:30 (GMT+2:00) inflation report in the UK will be published.

GBP/USD

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 GBP/USD.

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

Trading recommendations
  • Support levels: 1.30800, 1.30400
  • Resistance levels: 1.31650, 1.32250, 1.33100

If the price consolidates below 1.30800, expect a further drop toward 1.30400-1.30200.

Alternatively, the quotes could grow toward 1.32200-1.32500.

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The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.31562
  • Open: 1.31593
  • % chg. over the last day: +0.08
  • Day's range: 1.31527 - 1.31702
  • 52 wk range: 1.3014 - 1.3664

CAD continues to consolidate. The technical picture is still mixed. The local support and resistance levels are: 1.31400 and 1.31750, respectively. Participants in financial markets expect additional drivers. USD / CAD quotes have the potential to decline. We recommend that you pay attention to the dynamics of prices of black gold. Open positions from key levels.

At 15:30 (GMT+2:00) Canada will publish an inflation report.

USD/CAD

Indicators of accurate signals do not give: the price has crossed 50 MA and 100 MA.

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

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: 1.31400, 1.31150
  • Resistance levels: 1.31750, 1.32000, 1.32250

If the price consolidates below 1.31400, expect the quotes to fall toward 1.31000.

Alternatively, the quotes could grow toward 1.32000-1.32200.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 109.536
  • Open: 109.472
  • % chg. over the last day: -0.03
  • Day's range: 109.412 – 109.565
  • 52 wk range: 104.45 – 113.53

The USD/JPY currency pair is in lateral movement. Unidirectional trends are not observed. At the moment, the local support and resistance levels are: 109.400 and 109.650, respectively. In the near future, technical correction of the trading instrument is not ruled out. We recommend that you keep track of current information regarding the settlement of the trade conflict between the United States and China. Open positions from key levels.

During the Asian trading session, positive data on the trade balance of Japan were published.

USD/JPY

Indicatorsdo not give accurate signals: the price crossed 50 MA and 100 MA.

The MACD histogram is close to the 0 mark.

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

Trading recommendations
  • Support levels: 109.400, 109.250, 109.050.
  • Resistance levels: 109.650, 110.000

If the price consolidates below 109.400, expect a correction toward 109.200-109.000.

Alternatively, the quotes could grow toward the round 110.000.

by JustForex, 2019.12.18

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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