The Analytical Overview of the Main Currency Pairs on 2021.03.12

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.1927
  • Prev Close: 1.1985
  • % chg. over the last day: +0.47%

After the ECB meeting, the euro rose even more than the previous day. The committee's decision disappointed investors. The initial decline in German Bonds yields was almost completely leveled off in the American session. This allowed the pair to exceed the first resistance level.

Trading recommendations
  • Support levels: 1.1799, 1.1746
  • Resistance levels: 1.1991, 1.2113

The main scenario for EUR/USD is trading in a sideways range between 1.1991 – 1.1907. The ADX dropped to its lowest levels. But the MACD and moving averages indicate the likelihood of continued growth. Mixed data gives a neutral signal. The upward movement is likely to slow down or the southern pullback to the 100 SMA moving average will begin to develop.

Alternative scenario: if the price manages to gain a foothold above the level of 1.1991, the pair may return to growth to 1.2113. A break at 1.1908 could push the pair towards 1.1799.

News feed for 2021.03.12:
  • – The US Producer Price Index (PPI) (m/m) (Feb) at 15:30 (GMT+2).

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.3931
  • Prev Close: 1.3988
  • % chg. over the last day: +0.41%

Sterling's slow recovery stopped at the resistance level and the pair moved to a decline in the Asian session. An increase in volatility can be expected during the day after the publication of data on GDP and manufacturing output.

Trading recommendations
  • Support levels: 1.3857, 1.3775
  • Resistance levels: 1.3997, 1.4224

The main scenario for GBP/USD is trading sideways between 1.3997 and 1.3857. The ADX shows a slight increase in the potential of the northern direction, which indicates the weakness of the bulls. As long as the price holds above the moving averages, fixing above the resistance level is still possible, but the probability is low.

Alternative scenario: if the pair consolidates above 1.3997, it resumes growth to the highs of the year. A breakdown of 1.37857 could send the price up to 1.3775.

News feed for 2021.03.12:
  • – The UK GDP (q/q) at 09:00 (GMT+2);
  • – UK Manufacturing Production Output (m/m) (Jan) at 09:00 (GMT+2).

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 108.38
  • Prev Close: 108.47
  • % chg. over the last day: +0.08%

The rise in risky assets supports the bulls in the dollar-yen pair. Despite the decline in the dollar index, the pair closed the day in positive territory. Medium-term expectations for the growth of the instrument are strengthening from a fundamental point of view.

Trading recommendations
  • Support levels: 108.35, 107.08
  • Resistance levels: 109.34, 109.86

The main scenario is buying. In the Asian session, the price rises, while the ADX shows the strength of the bullish potential above the average. The MACD is also starting to signal the beginning of an upward movement. The probability of a breakout of the first resistance level has increased.

An alternative scenario implies the price-fixing below 108.35. In this case, the pair may return to the decline to 107.08.

News feed for 2021.03.12:
  • – The US Producer Price Index (PPI) (m/m) (Feb) at 15:30 (GMT+2).

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.2614
  • Prev Close: 1.2529
  • % chg. over the last day: -0.67%

The Canadian currency has shown the highest volatility among the majors. A breakdown of the weekly range from top to bottom took place, which was facilitated by the growth of oil prices. A solid rally in the oil market may continue to put pressure on the pair.

Trading recommendations
  • Support levels: 1.2519, 1.2467
  • Resistance levels: 1.2592, 1.2745

The main scenario is selling. The pair has left the sideways range and moved to the south. The ADX showed high potential for the southern direction, which indicated a possible continuation of the fall to the second support level.

Alternative scenario: if the price manages to gain a foothold above 1.2592, the pair may return to the previous weekly range with the upper border at 1.2745.

News feed for 2021.03.12:
  • – The US Producer Price Index (PPI) (m/m) (Feb) at 15:30 (GMT+2);
  • – Canada Employment Change (Feb) at 15:30 (GMT+2).

by Justforex, 2021.03.12

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.

Open Account

Get Free Analytics

* required fields
Last Articles
All Articles
10 most stable forex pairs to trade in 2021
If you are interested in forex but have never tried trading before, sooner or later, you come across the question of what currency pair is safe to trade so that you don’t lose half of your deposit on your first position. And the answer is as simple as can be, the safest currency pairs are the most stable ones. Read on to learn which currency pairs are the best to start your trading journey.
Read more
Best Gold Trading Tips For Beginners
Gold is one of the most popular assets traded worldwide by investors, funds, and speculators who aim to profit from the price fluctuations or stand up against inflation. Unfortunately, many market participants fail to catch the wave and take full advantage of what the gold market can offer due to the lack of knowledge and experience. Are you planning to become the next gold trader? Learn how to trade gold in the most profitable way.
Read more
How to Become a Successful Forex Trader in Malaysia
With broad access to online brokerage services, everyone can become a trader these days. However, few people actually find success in FX. The reason might be that many of those who try trading skip some essential steps or simply do things wrong. Learn about the best ways to become a currency trader in Malaysia from this article.
Read more