The Analytical Overview of the Main Currency Pairs on 2020.07.06

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.12347
  • Open: 1.12432
  • % chg. over the last day: +0.08
  • Day's range: 1.12386 – 1.13027
  • 52 wk range: 1.0777 – 1.1494

The EUR/USD quotes have been growing. The trading instrument has reached local highs. At the moment, the euro is testing the round level of 1.1300. The 1.1270 mark is immediate support. The technical pattern signals the further growth of the trading instrument. Investors are worried about new outbreaks of coronavirus in the United States. Today, the focus is on economic releases from the United States. We recommend opening positions from key support and resistance levels.

News feed for 2020.07.06:
  • At 17:00 (GMT+3:00), the ISM US Purchasing Managers Index will be published.
EUR/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, indicating bullish sentiment.

Stochastic Oscillator has started to go out of the overbought zone, the %K line is below the %D line, which gives a signal to sell EUR/USD.

Trading recommendations
  • Support levels: 1.1270, 1.1245, 1.1220
  • Resistance levels: 1.1300, 1.1325

If the price fixes above 1.1300, further growth of EUR/USD quotes is expected. The movement is tending to 1.1325-1.1350.

An alternative could be a decrease in the EUR/USD currency pair to 1.1245-1.1220.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.24640
  • Open: 1.24618
  • % chg. over the last day: -0.02
  • Day's range: 1.24547 – 1.25097
  • 52 wk range: 1.1466 – 1.3516

The GBP/USD currency pair is in a flat. Unidirectional trends are not observed. Participants in financial markets expect additional drivers. At the moment, the local support and resistance levels are 1.2460 and 1.2510, respectively. The pound sterling is tending to recover. We are expecting statistics from the USA. Positions must be opened from key levels.

In June, the index of business activity in the UK construction sector was 55.3, which is significantly higher than market expectations of 47.0.

GBP/USD

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

The MACD histogram is in the positive zone, indicating bullish sentiment.

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which gives a signal to sell GBP/USD.

Trading recommendations
  • Support levels: 1.2460, 1.2435, 1.2400
  • Resistance levels: 1.2510, 1.2540

If the price fixes above 1.2510, GBP/USD is expected to rise. The movement is tending to 1.2540-1.2570.

An alternative could be a decrease of the GBP/USD currency pair to 1.2430-1.2400.

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The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.35671
  • Open: 1.35601
  • % chg. over the last day: -0.13
  • Day's range: 1.35196 – 1.35626
  • 52 wk range: 1.2949 – 1.4668

The USD/CAD has moved down. The trading instrument has updated local lows. Loonie is currently consolidating in the range of 1.3520-1.3555. Positive dynamics in the black gold market supports the Canadian dollar. The USD/CAD currency pair is tending to further decline. We recommend paying attention to the news feed on the US economy. Positions must be opened from key levels.

The publication of important economic reports from Canada is not planned.

USD/CAD

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

The MACD histogram is in the negative zone, indicating bearish sentiment.

Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which gives a signal to buy USD/CAD.

Trading recommendations
  • Support levels: 1.3520, 1.3490
  • Resistance levels: 1.3555, 1.3580, 1.3610

If the price fixes below 1.3520, a further drop in the USD/CAD quotes is expected. The movement is tending to 1.3490-1.3470.

An alternative could be the growth of the USD/CAD currency pair to 1.3580-1.3610.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 107.482
  • Open: 107.460
  • % chg. over the last day: -0.01
  • Day's range: 107.439 – 107.773
  • 52 wk range: 101.19 – 112.41

The USD/JPY currency pair is still in a prolonged flat. Unidirectional trends are not observed. Investors expect additional drivers. The key support and resistance levels are 107.35 and 107.75, respectively. Today, the focus is on statistics on the US economy. We also recommend paying attention to the dynamics of yield on US government bonds. Positions must be opened from key levels.

The publication of important economic reports from Japan is not planned.

USD/JPY

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

The MACD histogram is near the 0 mark.

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

Trading recommendations
  • Support levels: 107.35, 107.05, 106.80
  • Resistance levels: 107.75, 108.10

If the price fixes below 107.35, USD/JPY is expected to fall. The movement is tending to 107.00-106.70.

An alternative could be the growth of the USD/JPY currency pair to 108.00-108.30.

by JustForex, 2020.07.06

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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