The Analytical Overview of the Main Currency Pairs on 2020.06.18

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.12620
  • Open: 1.12419
  • % chg. over the last day: -0.17
  • Day's range: 1.12249 – 1.12613
  • 52 wk range: 1.0777 – 1.1494

There is an ambiguous technical pattern on the EUR/USD currency pair. The trading instrument is currently consolidating. The key support and resistance levels are 1.1215 and 1.1265, respectively. The demand for risky assets is still low. Investors are concerned about the growing number of new cases of COVID-19 virus. The number of infected around the world has exceeded 8.3 million. We expect important economic reports from the US. A further drop in EUR/USD quotes is possible. We recommend opening positions from key levels.

The Economic News Feed for 2020.06.18:
  • - Initial jobless claims in the US at 15:30 (GMT+3:00);
  • - Philadelphia Fed manufacturing index at 15:30 (GMT+3:00).
EUR/USD

Indicators do not give accurate signals: the price is consolidating near 50 MA.

The MACD histogram is near the 0 mark.

Stochastic Oscillator is near the overbought zone, the %K line has crossed the %D line. There are no signals at the moment.

Trading recommendations
  • Support levels: 1.1215, 1.1190, 1.1160
  • Resistance levels: 1.1265, 1.1290, 1.1325

If the price fixes below the level of 1.1215, a further fall in EUR/USD quotes is expected. The movement is tending to 1.1180-1.1150.

An alternative could be the growth of the EUR/USD currency pair to 1.1300-1.1340.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.25718
  • Open: 1.25400
  • % chg. over the last day: -0.16
  • Day's range: 1.25150 – 1.25668
  • 52 wk range: 1.1466 – 1.3516

GBP/USD quotes are consolidating. The technical pattern is ambiguous. Financial market participants have taken a wait-and-see attitude before today's meeting of the Bank of England. It is expected that the regulator will keep the key marks of monetary policy at the same level. We recommend paying attention to the comments by the Central Bank representatives. At the moment, the local support and resistance levels are 1.2510 and 1.2565, respectively. Positions should be opened from these marks.

At 14:00 (GMT+3:00), the Bank of England will announce its interest rate decision.

GBP/USD

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

The MACD histogram is in the negative zone, which indicates the development of bearish sentiment.

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: 1.2510, 1.2455, 1.2400
  • Resistance levels: 1.2565, 1.2610, 1.2675

If the price fixes below 1.2510, a further drop in GBP/USD quotes is expected. The movement is tending to 1.2460-1.2400.

An alternative could be the growth of the GBP/USD currency pair to 1.2610-1.2650.

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The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.35420
  • Open: 1.35710
  • % chg. over the last day: +0.16
  • Day's range: 1.35456 – 1.36091
  • 52 wk range: 1.2949 – 1.4668

The USD/CAD currency pair is still being traded in a flat. There is no defined trend. At the moment, the local support and resistance levels are 1.3540 and 1.3615, respectively. Investors expect additional drivers. Economic reports from the United States are in the focus of attention. We also recommend paying attention to the dynamics of oil quotes. Positions should be opened from key levels.

The news feed on Canada's economy is calm enough.

USD/CAD

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

The MACD histogram is near the 0 mark.

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

Trading recommendations
  • Support levels: 1.3540, 1.3510, 1.3455
  • Resistance levels: 1.3615, 1.3680

If the price fixes below 1.3540, USD/CAD quotes are expected to fall. The movement is tending to 1.3500-1.3470.

An alternative could be the growth of the USD/CAD currency pair to 1.3660-1.3690.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 107.292
  • Open: 107.003
  • % chg. over the last day: -0.31
  • Day's range: 106.701 – 107.074
  • 52 wk range: 101.19 – 112.41

The technical pattern is still ambiguous on the USD/JPY currency pair. USD/JPY quotes continue to be traded in flat. At the moment, the local support and resistance levels are 106.60 and 107.15, respectively. The demand for "safe-haven" currencies is still high. Today, we recommend paying attention to economic releases, as well as to the dynamics of US government bonds yield. Positions should be opened from key levels.

The news feed on Japan's economy is calm.

USD/JPY

Indicators do not give accurate signals: the price is consolidating near 50 MA.

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

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

Trading recommendations
  • Support levels: 106.60, 106.00
  • Resistance levels: 107.15, 107.65, 108.20

If the price fixes below 106.60, USD/JPY quotes are expected to fall. The movement is tending to the round level of 106.00.

An alternative could be the growth of the USD/JPY currency pair to 107.60-107.90.

by JustForex, 2020.06.18

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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