Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 06 October, 2016

Forecast for the EURUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.12047
Opening: 1.12041
Chg. % for the last day: +0.01
Day range: 1.11899-1.12126
52-week range: 1.0538-1.1616

Asian trading session was rather calm. Significant changes in the rate of the EUR/USD currency pair did not happen. At the moment, financial markets are waiting for the publication of the US labor market report on Friday, October 7th. We recommend to search for entry points from the key support and resistance levels.

forex-forecast-eurusd-06-10-2016

Indicators signals are ambiguous. The MACD histogram has moved into the negative zone and fixed below the signal line, indicating the decline of EUR/USD.

The Stochastic Oscillator has come out of the oversold zone, the %K line is above the %D line, which indicates a possible increase of EUR/USD.

News background today is quite calm:
– Publication of ECB’s meeting report on the monetary policy (14:30 GMT + 3);
– The number of initial claims for benefits for unemployment in the USA (15:30 GMT + 3).

Trading recommendations:

Support levels: 1.11500, 1.11950
Resistance Levels: 1.12450

At the moment, the currency is being traded near the support level of 1.11950. If the EUR/USD currency pair overcome and fix below this level, the reduction of quotations to around 1.11750 is possible.

An alternative could be the upward movement of the local resistance level of 1.12250.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.27279
Opening: 1.27456
Chg. % for the last day: +0.16
Day range: 1.26945-1.27596
52-week range: 1.2796-1.5659

Since the beginning of the week, the GBP/USD currency pair decline has exceeded 250 pips. Yesterday, the pound held the local support of 1.27000. During the Asian session, the GBP/USD pair has tested this level once again.

forex-forecast-gpbusd-06-10-2016

Indicators send diverse signals. The MACD histogram is in the negative zone and below its signal line, indicating further selling of GBP/USD.

The Stochastic Oscillator has come out of the oversold zone, the %K line is above the %D line, which indicates the development of corrective movement on GBP/USD.

Important statistics on the UK economy is not released today.

Trading recommendations:

Support levels: 1.26750
Resistance Levels: 1.28150

We expect a correction on GBP/USD to the local resistance level of 1.27850.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.31905
Opening: 1.31758
Chg. % for the last day: -0.13
Day range: 1.31746-1.32088
52-week range: 1.2458-1.4692

During yesterday’s trading, the USD/CAD currency pair was under relatively high trading activity. However, there was no unidirectional movement on the market. The currency tested local support and resistance levels: 1.31650 and 1.32200.

forex-forecast-usdcad-06-10-2016

The MACD histogram has started to rise and fixed above the signal line, what indicates the development of a bullish trend on the USD/CAD currency pair.

The Stochastic Oscillator is near the overbought zone, the %K line is below the %D line, indicating the decrease of USD/CAD.

At 15:30 (GMT + 3) data on permits of construction in Canada will be released.

Trading recommendations:
Support levels: 1.31650, 1.30750
Resistance levels: 1.32600

We believe that buying of USD/CAD may continue to the resistance level of 1.32600.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 102.881
Opening: 103.404
Chg. % for the last day: +0.59
Day range: 103.339-103.736
52-week range: 99.08-123.69

During yesterday’s trading session, the yen continued to lose ground against the US dollar. The USD/JPY currency pair rose in price by more than 75 pips.

forex-forecast-usdjpy-06-10-2016

The MACD histogram is in the positive zone, but below the signal line, which sends a weak signal to buy USD/JPY.

The Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which indicates a continuation of the upward movement on USD/JPY.

Important statistical data on the Japanese economy will be not released today.

Trading recommendations:

Support levels: 102.650
Resistance Levels: 103.650

At the moment, the currency is being traded near the resistance level of 103.650. If the currency pair held this level, a corrective movement to the level of 103.000 is possible.

An alternative could be a continuation of the upward trend to the level of 104.000.