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

Forecast for the EURUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.06277
Opening: 1.07641
Chg. % for the last day: +1.86
Day range: 1.07365 – 1.07800
52-week range: 1.0538 – 1.1616

The single currency stabilized after the unsuccessful referendum on constitutional reform in Italy. Yesterday, the EUR/USD quotes growth exceeded 175 points. At the moment, the currency has found resistance at 1.07950.

forex-forecast-eurusd-06-12-2016

The MACD histogram has fixed in the positive zone, but below the signal line, which delivers a weak signal to buy EUR/USD.

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

At 12:00 (GMT + 2: 00), the data on the GDP of the eurozone will be released. You must also pay attention to the news feed from the United States:
– productivity in non-farm payrolls (15:30 GMT + 2: 00);
– the trading balance (15:30 GMT + 2: 00);
– labor costs (15:30 GMT + 2: 00);
– the volume of industrial orders (17:00 GMT + 2: 00).

Trading recommendations:

Support levels: 1.07400, 1.06850
Resistance levels: 1.07950

We expect a continuation of the current market trend. We recommend to consider buying EUR/USD to the level of 1.08400.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.26714
Opening: 1.27309
Chg. % for the last day: +0.51
Day range: 1.27157 – 1.27635
52-week range: 1.2016 – 1.5513

Yesterday, “bullish” moods on the GBP/USD currency pair continued. The GBP/USD quotes rose by more than 0.5%. At the moment, the market has formed a classic figure of technical analysis – “Rising triangle”.

forex-forecast-gpbusd-06-12-2016

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

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

Important economic news from the UK is not released today.

Trading recommendations:

Support levels: 1.27500, 1.26850
Resistance levels: 1.28000

We expect a continuation of the upward trend on the GBP/USD currency pair. If prices keep the “mirror” support level of 1.27500, the GBP/USD quotes may reach 1.27900.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.32838
Opening: 1.32702
Chg. % for the last day: +0.07
Day range: 1.32518 – 1.32845
52-week range: 1.2458 – 1.4692

Yesterday the Canadian dollar showed a variety of trends. The currency kept the resistance level of 1.33250, which caused sales of USD/CAD. Currently, the Canadian dollar is testing the support level of 1.32500.

forex-forecast-usdcad-06-12-2016

Indicators signals are diversified. The MACD histogram has started to rise and fixed above the signal line, sending a signal to buy USD/CAD.

Stochastic Oscillator has fixed in the neutral zone, the %K line is below the %D line, which indicates the development of the “bearish” moods on the USD/CAD currency pair.

The news background on the Canadian economy:
– the trading balance (15:30 GMT + 2: 00);
– Ivey PMI (17:00 GMT + 2: 00).

Trading recommendations:

Support levels: 1.32500
Resistance levels: 1.33250, 1.34000

If statistics from Canada is positive, the USD/CAD quotes may reduce to the level of 1.32100.

An alternative would be an increase of USD/CAD to the local resistance of 1.33250.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 113.301
Opening: 113.856
Chg. % for the last day: +0.27
Day range: 113.486 – 114.152
52-week range: 99.08 – 123.69

Yesterday, a high trading activity was observed on the USD/JPY. However, a significant change of rate did not happen. At the moment, the currency is being traded in a range of 113.600-114.750.

forex-forecast-usdjpy-06-12-2016

The MACD histogram does not give strong signals. The indicator is near the 0 mark.

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

We recommend to pay attention to the statistics on the US economy.

Trading recommendations:

Support levels: 113.600, 112.350
Resistance levels: 114.750

Our assumptions were confirmed yesterday. We continue to expect the correction on the USD/JPY currency pair. We recommend selling to around 113.100.