Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 26 September, 2016

Forecast for the EURUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.12077
Opening: 1.12300
Chg. % for the last day: +0.17
Day range: 1.12212-1.12416
52-week range: 1.0538-1.1616

Over the past few trading sessions, the EUR/USD currency pair has formed the key support and resistance levels: 1.11950 and 1.12550. Trading during the Asian session was relatively calm. There were no significant changes of the EUR/USD rate.

forex-forecast-eurusd-26-09-2016

The indicators show an ambiguous image. The MACD histogram is in the positive zone, but below the signal line, which delivers a weak signal to sell EUR/USD.

The Stochastic Oscillator has fixed in the neutral zone, the %K line is above the D% line, indicating to buy EUR/USD.

We recommend to pay attention to the news background:
– IFO business climate index in Germany (11:00 GMT + 3:00);
– New houses selling in the USA (17:00 GMT + 3:00);
– ECB President Draghi’s speech (18:05 GMT + 3:00).

Trading recommendations:

Support levels: 1.11950
Resistance Levels: 1.12550

In case of publication of optimistic data on the German economy, the EUR/USD rise to the level of 1.13000 is possible.

An alternative would be the EUR/USD quotes reduction to the support level of 1.11950.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.30601
Opening: 1.29642
Chg. % for the last day: -0.80
Day range: 1.29261-1.29864
52-week range: 1.2796-1.5659

During Friday’s trading session, the US dollar has strengthened its positions against the pound. The GBP/USD currency pair has lost in price more than 100 pips.

forex-forecast-gpbusd-26-09-2016

The MACD histogram is in the negative zone and below its signal line, indicating a decline of GBP/USD.

The Stochastic Oscillator gives a weak signal to sell GBP/USD. The indicator is near the oversold zone, the %K line is below the %D line.

The publication of important statistics for the UK economy is not planned today.

Trading recommendations:

Support levels: 1.29350
Resistance Levels: 1.30450

Friday’s forecast worked itself well. We expect a continuation of the downward trend for the GBP/USD currency pair to the local support level of 1.28800.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.30425
Opening: 1.31571
Chg. % for the last day: +0.97
Day range: 1.31481-1.31942
52-week range: 1.2458-1.4692

On Friday, 23 September, the USA dollar has corrected significantly (over 125 pips) against the Canadian dollar, after a significant drop last week.

forex-forecast-usdcad-26-09-2016

The MACD histogram indicates a possible correction of the USD/CAD currency pair. The indicator has begun to decline and is below the signal line.

The Stochastic Oscillator is in the neutral zone, the %K line is above %D line, which indicates a further increase of USD/CAD.

Important news on Canada’s economy is not expected today.

Trading recommendations:

Support levels: 1.31400
Resistance Levels: 1.32200

If data on the US housing market is positive, we recommend to consider buying of USD/CAD by the resistance level of 1.32350.

An alternative would be the development of the corrective movement to the level of 1.31250.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 100.748
Opening: 100.940
Chg. % for the last day: +0.25
Day range: 100.516-101.077
52-week range: 99.08-123.69

From the middle of last week the USD/JPY currency pair has being traded in the range of 100.250-101.250. Today’s data on the housing market of the USA can act as the driver for the development of new tendencies for the USD/JPY currency pair.

forex-forecast-usdjpy-26-09-2016

Indicators point to the development of the bearish moods for USD/JPY.

The MACD histogram has started to decline and is below the signal line, indicating to sell USD/JPY.

The Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, indicating the decline of USD/JPY.

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

Trading recommendations:

Support levels: 100.250
Resistance Levels: 101.250, 101.900

We believe that the USD/JPY currency pair may continue the correctional movement to the resistance level of 101.250.