Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 11 October, 2016

Forecast for the EURUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.11794
Opening: 1.11371
Chg. % for the last day: -0.51
Day range: 1.11154-1.11421
52-week range: 1.0538-1.1616

During yesterday’s trading session, the euro weakened against the US dollar (by more than 50 pips), despite a weak report on the US labor market and optimistic data on the trade balance of Germany. At the moment, the currency is being traded near the support level of 1.11100.

forex-forecast-eurusd-11-10-2016

Indicators point to a further decline of the EUR/USD currency pair. The MACD histogram is in the negative zone and below the signal line.

The Stochastic Oscillator is in the neutral zone, the% K line is below the %D line, it gives a signal to sell EUR/USD.

We recommend to pay attention to the news feed:
– ZEW index of economic moods in Germany (12:00 GMT + 3: 00);
– ZEW index of economic moods in the EU (12:00 GMT + 3: 00);
– Kashgarli’s, FOMC member, speech (18:00 GMT + 3: 00).

Trading recommendations:

Support levels: 1.11100
Resistance Levels: 1.11500

In the case of the publication of positive statistics on the German economy, an upward trend on the EUR/USD currency pair may develop to the level of 1.11500.

An alternative might be EUR/USD fall to the local support level of 1.10500.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.23971
Opening: 1.23623
Chg. % for the last day: -0.58
Day range: 1.22769-1.23753
52-week range: 1.2016-1.5513

Britain’s currency remains under pressure. Yesterday, the pound continued to lose ground against the US dollar. At the moment the GBP/USD currency pair is being traded between the support and resistance local levels: 1.22650 and 1.24000.

forex-forecast-gpbusd-11-10-2016

The indicators show an ambiguous image. The MACD histogram is in the negative zone and has continued to decline, indicating a continuation of the bearish trend on the GBP/USD currency pair.

The Stochastic Oscillator is in the neutral zone, the %K line crossed the %D line. Currently, there are no signals.

The news background on the GBP/USD currency pair is calm today.

Trading recommendations:

Support levels: 1.22650
Resistance Levels: 1.24000, 1.26000

Yesterday’s forecast was confirmed. If the GBP/USD currency pair overcomes fixes below the support level of 1.22650, the pound may decrease to around 1.22000.

An alternative would be the development of a corrective movement to the resistance level of 1.24000.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.32404
Opening: 1.31746
Chg. % for the last day: -0.56
Day range: 1.31633-1.32146
52-week range: 1.2458-1.4692

Yesterday, the selling prevailed on the USD/CAD currency pair. The Canadian dollar held resistance 1.32600 and rose in price by more than 100 pips.

forex-forecast-usdcad-11-10-2016

The MACD histogram has started to rise and fixed above the signal line, indicating the correction on USD/CAD.

The Stochastic Oscillator has fixed in the neutral zone, the %K line crossed the %D line. There are no signals yet.

At 15:15 (GMT + 3: 00), the data on the volume of new homes construction in Canada will be published.

Trading recommendations:

Support levels: 1.31650
Resistance levels: 1.32600

We expect a continuation of the downward trend on USD/CAD to the local support level of 1.31500.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 103.248
Opening: 103.642
Chg. % for the last day: +0.56
Day range: 103.563-104.066
52-week range: 99.08-123.69

Yesterday the USD/JPY currency pair significantly corrected, after declining during the Friday’s trading session, on 7 October. At the moment, the currency is being traded near the resistance level of 104.150.

forex-forecast-usdjpy-11-10-2016

The MACD histogram is in the positive zone and above its signal line, indicating the increase of USD/JPY.

The Stochastic Oscillator has fixed in the neutral zone, the %K line crossed the %D line. There are no signals yet.

Important news on the Japanese economy is not expected today.

Trading recommendations:

Support levels: 103.250
Resistance levels: 104.150

We expect the development of the bearish moods on the USD/JPY currency pair. Recommend to consider selling to around 103.250.