Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 05 August, 2016

The forecast for the EURUSD currency pair

As expected, a special activity for this currency pair wasn’t observed yesterday as well as today, the market is waiting for the Nonfarm Payrolls news release.

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The MACD histogram is in the negative zone, above its signal line, and sends a signal to buy EURUSD.

The stochastics oscillator is in the neutral zone, the %K line is below the %D line and sends a signal to sell EURUSD.

At 15:30 (GMT +2: 00) the important news in the United States regarding the change of the number of employed people in the nonfarm sector (NFP) is expected, as well as data on the unemployment rate.

We believe that the positive news in the USA may contribute to EURUSD reduction to the level of 1.10700, and perhaps even to 1.10000.

Otherwise, the price of EURUSD can rise to the level of 1.12000.

Forecast for the GBPUSD currency pair

Results of the news from the Bank of England have significantly influenced the market yesterday, the GBPUSD price fell by more than 240 pips to the level of 1.31000, which greatly exceeded our expectations.

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The MACD histogram is in the negative zone, above its signal line, which can be regarded as a signal to buy GBPUSD.

The stochastics oscillator is in the neutral zone, the %K line is above the %D line and sends a weak signal to buy GBPUSD.

News for British pound is not expected today, the NFP news will only affect the price movement of GBPUSD.

If the result of US news is positive, the GBPUSD price may drop even more, down to the level of 1.30000.

Otherwise, GBPUSD can rise to 1.32400.

Forecast for the USDJPY currency pair

Generally, the trading session the pair of USDJPY was calm yesterday and the prices of market opening/closing didn’t differ a lot.

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The MACD histogram is in the negative zone, joined its signal line, so there are no signals yet.

The stochastic oscillator is in the negative zone, the %K line is above the %D line, and sends a signal to buy USDJPY.

We believe that today USDJPY is likely to rise to the level of 102.000.

An alternative is a reduction to 100.000 or below.

Forecast for the USDCAD currency pair

As a result of yesterday’s trading session, the USDCAD price dropped by 85 pips. The mark of 1.30870 made strong resistance level, and the price USDCAD fell to the level of 1.30000.

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The MACD histogram is in the negative zone, above its signal line, which can be regarded as a signal to buy USDCAD.

The stochastic oscillator is in the neutral zone, the %K is above the %D line and sends a signal to buy USDCAD.

At 15:30 and 17:00 strong news is expected in Canada.

Its positive result can reduce the USDCAD price below the level of 1.30000.

Otherwise, the USDCAD price may rise to the level of 1.30800.