The Analytical Overview of the Main Currency Pairs on 2020.02.25

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.08247
  • Open: 1.08521
  • % chg. over the last day: +0.09
  • Day's range: 1.08452 – 1.08676
  • 52 wk range: 1.0879 – 1.1572

During yesterday's trading, the single currency continued to recover against the greenback. EUR/USD quotes updated local highs. The euro was supported by optimistic data from Germany. At the moment the trading instrument is consolidating. The key support and resistance levels are 1.08300 and 1.08700, respectively. The EUR/USD currency pair has a potential for further correction. We expect economic reports from the USA. We recommend opening positions from key levels.

The Economic News Feed for 25.02.2020:

  • - in the fourth quarter, German GDP growth met market expectations and amounted to 0.3% (YoY);
  • - the US consumer confidence index will be published at 17:00 (GMT+2:00).
EUR/USD

The indicators signal the strength of buyers: the price has fixed above 50 MA and 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 mood.

Trading recommendations
  • Support levels: 1.08300, 1.08000, 1.07800
  • Resistance levels: 1.08700, 1.09000, 1.09250

If the price fixes above 1.08700, expect the quotes to move toward 1.09000-1.09250.

Alternatively, the quotes could descend toward 1.08000-1.07800.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.29448
  • Open: 1.29301
  • % chg. over the last day: +0.09
  • Day's range: 1.29142 – 1.29419
  • 52 wk range: 1.1959 – 1.3516

The technical picture on the GBP/USD currency pair is ambiguous. The trading instrument is in sideways movement. Unidirectional trend is not observed. At the moment local support and resistance levels are at 1.29000 and 1.29450, respectively. Sterling has a potential for recovery. It is recommended to open positions from key levels.

The publication of important economic releases from the UK is not planned.

GBP/USD

Indicators do not give an accurate signal: 50 MA crossed 100 MA.

MACD histogram is near the 0 mark.

The Stochastic Oscillator is located near the overbought zone, the %K line has crossed the %D line. No signals at the moment.

Trading recommendations
  • Support levels: 1.29000, 1.28500
  • Resistance levels: 1.29450, 1.29800, 1.30150

If the price fixes above the resistance level at 1.29450, expect the quotes to rise to 1.29800-1.30000.

Alternatively, the quotees could descend toward 1.28700-1.28400.

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The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.32508
  • Open: 1.32925
  • % chg. over the last day: -0.21
  • Day's range: 1.32801 – 1.32987
  • 52 wk range: 1.2949 – 1.3566

Buying prevails on the USD/CAD currency pair. The trading instrument has updated local highs again. The CAD is under pressure from a significant drop in oil quotes. At the moment USD/CAD quotes are consolidating. The key support and resistance levels are 1.32700 и 1.33050. The Canadian dollar has a potential for further decline against the greenback. Today, we recommend to pay attention to the US economic reports. Positions should be opened from key levels.

The Economic News Feed for 25.02.2020 is calm.

USD/CAD

The indicators signal the strength of buyers: the price has fixed above 50 MA and 100 MA.

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

The 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: 1.32700, 1.32450, 1.32250
  • Resistance levels: 1.33050, 1.33400

If the price fixes above 1.33050, expect further growth toward 1.33400-1.33600.

Alternatively, the quotes could descend toward 1.32500-1.32300.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 111.342
  • Open: 110.681
  • % chg. over the last day: -0.63
  • Day's range: 110.627 – 111.043
  • 52 wk range: 104.45 – 113.53

At USD/JPY currency pair aggressive sales are observed. Yesterday the drop in quotations exceeded 70 points. The trading instrument has set new local lows. At the moment the safe haven currency is consolidating in the range of 110.650-111.100. USD/JPY quotes have potential for further correction. We recommend you to monitor the current information about the epidemic in China. Positions should be opened from key levels.

The Economic News Feed for 25.02.2020 is calm.

USD/JPY

The indicators signal the sellers' strength: the price has fixed below 100 MA.

Histogram of MACD is in the negative zone, which indicates a bearish mood.

The Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which also gives a sell signal for USD/JPY.

Trading recommendations
  • Support levels: 110.650, 110.300, 110.100
  • Resistance levels: 111.100, 111.600, 112.200.

If the price fixes below 110.650, further correction of USD/JPY quotes is expected. Potential movement towards 110.300-110.000.

Alternative is the growth of USD/JPY currency pair to 111.500-111.700.

by JustForex, 2020.02.25

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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