The Analytical Overview of the Main Currency Pairs on 2020.11.06

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.17255
  • Open: 1.18248
  • % chg. over the last day: +0.84
  • Day's range: 1.17953 – 1.18556
  • 52 wk range: 1.0637 – 1.2012

The EUR/USD currency pair shows a positive trend. The trading instrument has reached two-week highs. At the moment, EUR/USD quotes are consolidating in the range of 1.1800-1.1860. Financial market participants expect the final results of the US presidential election. Preliminary data indicates that Democrat Joe Biden will win. Yesterday, the Fed, as expected, kept its key interest rate range unchanged. The regulator plans to adhere to the current course of monetary policy. Today, traders will be focused on the US labor market report for October. We recommend paying attention to the difference between the actual and forecasted values. Positions should be opened from key levels.

News feed for 2020.11.06:
  • At 15:30 (GMT+2:00), the US labor market report 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, which indicates the bullish sentiment.

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: 1.1800, 1.1765, 1.1725
  • Resistance levels: 1.1860, 1.1900

If the price fixes above 1.1860, further growth of EUR/USD quotes is expected. The movement is tending to 1.1900-1.1920.

An alternative could be a decline in the EUR/USD currency pair to 1.1770-1.1740.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.29873
  • Open: 1.31462
  • % chg. over the last day: +1.21
  • Day's range: 1.31006 – 1.31563
  • 52 wk range: 1.1409 – 1.3516

The bullish sentiment prevails on the GBP/USD currency pair. The British pound has set new local highs. At the moment, GBP/USD quotes are consolidating. The trading instrument is testing local support and resistance levels: 1.3100 and 1.3155, respectively. Further growth of the GBP/USD currency pair is possible. We expect data on the US labor market. Positions should be opened from key levels.

The news feed on the UK economy is calm.

GBP/USD

Indicators point to the power 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 GBP/USD.

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: 1.3100, 1.3045, 1.2985
  • Resistance levels: 1.3155, 1.3200

If the price fixes above 1.3155, further growth in GBP/USD quotes is expected. The movement is tending to 1.3200-1.3220.

An alternative could be a drop in GBP/USD quotes to 1.3060-1.3040.

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The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.31320
  • Open: 1.30417
  • % chg. over the last day: -0.70
  • Day's range: 1.30382 – 1.30966
  • 52 wk range: 1.2949 – 1.4669

USD/CAD quotes show a steady downtrend. The loonie has reached key lows. At the moment, the trading instrument is consolidating in the range of 1.3030-1.3100. Traders have taken a wait-and-see attitude before the publication of reports on the labor market in the US and Canada. We also recommend paying attention to the dynamics of "black gold" prices. Positions should be opened from key levels.

The news feed on Canada's economy for 2020.11.06:
  • - Data on the labor market at 15:30 (GMT+2:00);
  • - Ivey PMI at 17:00 (GMT+2:00).
USD/CAD

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 bearish sentiment.

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

Trading recommendations
  • Support levels: 1.3030, 1.3000, 1.2950
  • Resistance levels: 1.3100, 1.3145, 1.3175

If the price fixes below 1.3030, a further drop in USD/CAD quotes is expected. The movement is tending to 1.3000-1.2970.

An alternative could be the growth of the USD/CAD currency pair to 1.3140-1.3170.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 104.505
  • Open: 103.470
  • % chg. over the last day: -0.97
  • Day's range: 103.311 – 103.759
  • 52 wk range: 101.19 – 112.41

There are aggressive sales on the USD/JPY currency pair. During yesterday's and today's trading sessions, the drop in quotes exceeded 100 points. The trading instrument has updated multi-month lows. At the moment, the local support and resistance levels are 103.30 and 103.75, respectively. USD/JPY quotes have the potential for further decline. We recommend paying attention to the labor market report and the dynamics of US government bonds yield. Positions should be opened from key levels.

The news feed for Japan's economy is quite calm.

USD/JPY

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 bearish sentiment.

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

Trading recommendations
  • Support levels: 103.30, 103.00
  • Resistance levels: 103.75, 104.00, 104.20

If the price fixes below 103.30, a further fall in USD/JPY quotes is expected. The movement is tending to 103.00-102.80.

An alternative could be the growth of the USD/JPY currency pair to 104.00-104.30.

by Justforex, 2020.11.06

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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