Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 06 February, 2017

Technical showings of the currency pair:

Pre-opening: 1.07581
Opening: 1.07898
Chg. % for the last day: +0.24
Day range: 1.07423 – 1.07910
52-week range: 1.0366 – 1.1616

On Friday, February 03, the US dollar weakened against other major currencies. This is due to the release of mixed data on the labor market. During the Asian trading session, the US currency has won back most of the losses. Currently, EUR/USD is testing the support level of 1.07550.

forex-forecast-eurusd-06-02-2017

The MACD histogram has started to decline and moved into the negative zone, which indicates the development of the “bearish” moods on EUR/USD.

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

News feed on 06/02/2017:
– ECB President Draghi’s speech (16:00 GMT + 2: 00);
– the FOMC member Harker’s speech (23:30 GMT + 2: 00).

Trading recommendations:

Support levels: 1.07550, 1.07150
Resistance levels: 1.08100

At the moment, the technical pattern on the EUR/USD currency pair is ambiguous. Positions must be opened from the key levels. If the price consolidates above the level of 1.07700, an upward trend may develop to 1.08100.

An alternative might be the EUR/USD quotes fall to the support level of 1.07150.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.25259
Opening: 1.24830
Chg. % for the last day: -0.32
Day range: 1.24490 – 1.24988
52-week range: 1.1986 – 1.5020

British currency continues to lose ground against the US dollar. During Friday’s trading session, drop of the GBP/USD quotes was 0.32%. At the moment, the currency broke the support level of 1.24700.

forex-forecast-gpbusd-06-02-2017

The MACD histogram has consolidated in the negative zone and continued to decline, indicating a continuation of the downward trend on GBP/USD.

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

Important news for the UK economy is not expected today.

Trading recommendations:

Support levels: 1.24150
Resistance levels: 1.24700, 1.25250

We believe that the “bearish” moods on the GBP/USD currency pair may continue. One should consider selling to the mark of 1.24150-1.24000.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.30252
Opening: 1.30277
Chg. % for the last day: -0.02
Day range: 1.30096 – 1.30350
52-week range: 1.2458 – 1.4692

Over the last trading sessions of the Canadian dollar was in a sideway. The USD/CAD currency pair has formed a key trading range of 1.29850-1.30550. The market is waiting for additional drivers.

forex-forecast-usdcad-06-02-2017

Indicators do not send strong signals. The MACD histogram is located near the 0 mark.

Stochastic Oscillator has fixed near the overbought zone, the %K line is above the %D line, which gives a weak signal to buy USD/CAD.

The news feed on the economy of Canada is calm today.

Trading recommendations:

Support levels: 1.29850
Resistance levels: 1.30550, 1.31250

We expect the development of the downward trend on the USD/CAD currency pair. The potential for movement is to 1.29750.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 112.787
Opening: 112.459
Chg. % for the last day: -0.10
Day range: 112.223 – 112.775
52-week range: 99.08 – 123.69

On Friday the trading on the USD/JPY currency pair was very active. This is due to the publication of the US labor market report. In the afternoon, the demand for the yen grew significantly due to the ambiguous statistics. Currently, USD/JPY is being traded in the offer zone of 112.300-112.600.

forex-forecast-usdjpy-06-02-2017

The MACD histogram is in the negative zone, but above the signal line, which delivers a weak signal to sell USD/JPY.

Stochastic Oscillator is in the overbought zone, the %K line crossed the %D line. There are no signals yet.

The news background for the Japanese economy is calm.

Trading recommendations:

Support levels: 112.300
Resistance levels: 113.100, 113.900

We expect a drop of the USD/JPY quotes. One should consider selling to around 112.150-111.750.