The Analytical Overview of the Main Currency Pairs on 2021.06.07

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.2127
  • Prev Close: 1.2166
  • % chg. over the last day: +0.32%

Against the background of positive nonfarm payroll data, the US currency unexpectedly fell on Friday, triggering a sharp rise of the EUR/USD currency pair (inverse correlation). The price returned to a wide range of 1.2134-1.2243 on the impulsive move, forming a false breakdown zone below.

Trading recommendations
  • Support levels: 1.2134, 1.2112, 1.2074, 1.2026, 1.2002, 1.1957
  • Resistance levels: 1.2180, 1.2212, 1.2243, 1.2311

The price has quickly returned to the moving average line, and the MACD indicator is in the positive zone again. The uptrend is likely to resume, but only if the price breaks out through the priority change level of 1.2112. Under such market conditions, traders are better to look for both sell trades from the nearest resistance levels and buy trades from support levels within the upward momentum.

Alternative scenario: if the price breaks out through the 1.2212 resistance level and fixes below, the general uptrend is likely to resume.

EUR/USD
There is no news feed for today.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.4096
  • Prev Close: 1.4158
  • % chg. over the last day: +0.44%

Unlike the euro, the British pound managed to hold above the change priority level and maintain an uptrend. On Friday, the price returned to the wide range of 1.4110-1.4207 on the impulse move, forming a false breakdown zone below.

Trading recommendations
  • Support levels: 1.4110, 1.4075, 1.3996, 1.3913,1.3835, 1.3801, 1.3756, 1.3690
  • Resistance levels: 1.4175, 1.4207, 1.4338

The price is trading near the moving average, and the MACD indicator has become inactive. The trend of the GBP/USD currency pair remains bullish, as the price is above the priority change level. Under such market conditions, traders are better to look for buy trades from the support levels with the targets on the opposite boundary of the corridor.

Alternative scenario: if the price breaks through the 1.4075 support level and consolidates below, the bullish scenario is likely to be canceled.

GBP/USD
There is no news feed for today.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 110.26
  • Prev Close: 109.51
  • % chg. over the last day: -0.68%

The USD/JPY currency pair is highly correlated with the dollar index. On Thursday, the price fell by 0.68% and lost almost all of Thursday's gains. If such a bearish dynamic continues, the uptrend will most likely be broken.

Trading recommendations
  • Support levels: 109.35, 109.13, 108.66, 108.44, 108.19, 107.77
  • Resistance levels: 109.83, 110.09 110.51, 110.73

At the moment, the mid-term trend is still bullish as the price is above the priority change level of 109.14. The price is trading near the moving average, and the MACD indicator has gone into the negative area. Under such market conditions, traders are better to look for both buy trades from the nearest support levels and sell trades from resistance levels within the bearish momentum.

Alternative scenario: if the price falls below 109.14, the general downtrend is likely to resume.

USD/JPY
There is no news feed for today.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.2109
  • Prev Close: 1.2074
  • % chg. over the last day: -0.29%

The USD/CAD currency pair decreased by 0.29% on Friday. The Canadian dollar showed the greatest resistance to changes in the dollar index among all major currencies. Buyers are acting much more aggressively, and the price is moving towards the priority change level.

Trading recommendations
  • Support levels: 1.2069, 1.2032, 1.1944
  • Resistance levels: 1.2137, 1.2251, 1.2321, 1.2388, 1.2414, 1.2519

Technically, the trend remains bearish. But taking into account that the local downtrend line was broken by an impulsive move, the current momentum is strictly bullish. Under such market conditions, traders are better to look for both sell trades from the nearest resistance levels and buy trades from support levels, but only on intraday timeframes within the upward momentum. But it should be noted that the price is still inside a wide corridor of 1.2032-1.2137.

Alternative scenario: if the price breaks out through the 1.2137 resistance level and fixes above, a local corrective uptrend is likely to form.

USD/CAD
There is no news feed for today.

by Justforex, 2021.06.07

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
Monetary Policy Statement: What you need to know
Almost every month in the economic calendar, traders can see such events as the monetary policy meeting minutes. As a rule, during the publication of this protocol, the volatility increases sharply. Let's find out what this protocol is and whether it is possible to make money on it.
Read more
Forex Trade in Nigeria: Choosing the Right Timing for Successful Trading
The Nigerian economy is strong and blossoming, so it provides plenty of opportunities for earning, investing, and making more money. Forex trading is one of the ways to multiply your savings, but there are many factors that impact the outcome of your trading. Along with choosing the right currency pair, you need to carefully calculate when to trade (and when not to trade). This article will help you keep track of the best trading periods by the Nigerian time and how to decide when to enter the trades and when to refrain from them.
Read more