Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 01 November, 2016

Forecast for the EURUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.09912
Opening: 1.09764
Chg. % for the last day: -0.02
Day range: 1.09599 – 1.09863
52-week range: 1.0538 – 1.1616

Yesterday the single currency showed diversified dynamics. In the first half of the trading day, there was a correctional movement on the market, after a significant EUR/USD growth on Friday, October 28th. The US dollar remains under pressure because of renewal of investigation concerning Clinton.

forex-forecast-eurusd-01-11-2016

Indicators point to the development of the upward trend on the EUR/USD currency pair. The MACD histogram has fixed in the positive zone and continues to rise.

The Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which means purchases of EUR/USD.

Today at 16:00 (GMT + 2: 00) the data on the index of business activity in the US manufacturing sector from the ISM will be released.

Trading recommendations:

Support levels: 1.09300, 1.09650
Resistance levels: 1.0000

We expect a continuation of the correction on the EUR/USD currency pair. We recommend to consider buying by a local resistance of 1.1025.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.21849
Opening: 1.22391
Chg. % for the last day: +0.30
Day range: 1.22102 – 1.22808
52-week range: 1.2016 – 1.5513

Yesterday the GBP/USD currency pair managed to keep the support level of 1.21600. The British currency won back the losses obtained in the first half of the day, having risen in price + 0.30%. With the opening of the European trading session, the pound rally has continued.

forex-forecast-gpbusd-01-11-2016

The MACD histogram is in the positive zone and above its signal line, indicating further growth of the GBP/USD currency pair.

The Stochastic Oscillator is located near the overbought zone, the %K line is above the %D line, which gives a weak signal to buy GBP/USD.

We recommend to pay attention to the publication of the business activity index in the manufacturing sector in the UK 11:30 (GMT + 2: 00).

Trading recommendations:

Support levels: 1.21600, 1.22000
Resistance levels: 1.22700

Yesterday’s recommendations were applicable in practice. If business activity data in the UK has an optimistic character, the growth of the GBP/USD currency pair may continue to the level of 1.23250.

An alternative would be the GBP/USD quotes reduction to the local support of 1.22250.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.34248
Opening: 1.34121
Chg. % for the last day: +0.03
Day range: 1.33760 – 1.34256
52-week range: 1.2458 – 1.4692

The last few trading sessions, trading on the USD/CAD currency pair is quiet calm. Currency is in a flat and being traded in a range of 1.33900-1.34250. Currently, the Canadian dollar is testing the lower boundary of the trading range.

forex-forecast-usdcad-01-11-2016

The MACD histogram has started to decline and fixed below the signal line, which indicates the development of the downward trend on the USD/CAD currency pair.

The Stochastic Oscillator is near the oversold area. There are no signals yet.

The news feed on the economy of Canada is quite eventful today:
– Data on GDP (14:30 GMT + 3: 00);
– Speech of the Bank of Canada head Poloz (18:00 GMT + 3: 00).

Trading recommendations:
Support levels: 1.33250, 1.33900
Resistance levels: 1.34250

In case of publication of pessimistic data on Canadian GDP, USD / CAD quotes may continue to rise to around 1.34750.

An alternative would be the development of a downward trend on USD/CAD by support level of 1.33250.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 104.427
Opening: 104.777
Chg. % for the last day: +0.23
Day range: 104.668 – 105.112
52-week range: 99.08 – 123.69

During Asian trading session, there was an increased trading activity on the USD/JPY currency pair against the background of the meeting of the Bank of Japan. The regulator has left its monetary policy unchanged. The central bank also set aside a period of achieving the inflation target of 2%. At the moment, the currency is testing the local resistance of 105.10.

forex-forecast-usdjpy-01-11-2016

The MACD histogram has started to rise and fixed above the signal line, indicating the growth of the USD/JPY currency pair.

The Stochastic Oscillator is near the overbought zone, the %K line is beginning to cross the %D line. Currently, there are no signals.

We recommend to pay attention to the news feed from the US.

Trading recommendations:

Support levels: 104.650, 104.150
Resistance levels: 105.100

In case of keeping the resistance level of 105.100 appearing of additional evidence on the smaller timeframes, we recommend to consider saling on the USD/JPY to around 104.650.