Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 07 November, 2016

Forecast for the EURUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.11062
Opening: 1.10597
Chg. % for the last day: +0.30
Day range: 1.10521 – 1.11099
52-week range: 1.0538 – 1.1616

On Friday, 4 November, the euro continued to strengthen against the dollar because of the weak report on the US labor market. However, the dollar managed to win back Friday’s losses against the FBI decision to stop the investigation of Hillary Clinton’s emails. Today’s trading on currency “majors” was opened with a gap in favor of the US dollar.

forex-forecast-eurusd-07-11-2016

The indicators show an ambiguous image. The MACD histogram continues to decline and has fixed in the negative zone, indicating the further strengthening of the US dollar.

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

News background is calm today:
– The volume of retail sales in the EU (12:00 GMT + 2: 00);
– Eurogroup meeting (15:00 GMT + 2: 00).

Trading recommendations:

Support levels: 1.10650, 1.09900
Resistance levels: 1.11250

Tomorrow, on 8 November, the presidential election will be held in the United States. We should expect increased volatility on financial markets. Recommend to reduce the risks from open positions. It is better to look for the entry point into the market on smaller timeframes from key levels.

If EUR/USD overcomes and keeps the level of 1.10650, prices may continue to decline and reach the level of 1.10150.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.24630
Opening: 1.24530
Chg. % for the last day: +0.46
Day range: 1.23910 – 1.24968
52-week range: 1.2016 – 1.5513

The pound is under pressure in the run-up to the US elections. At the time of the opening of the European trading session, the British currency quotes fell by more than 0.70%.

forex-forecast-gpbusd-07-11-2016

The MACD histogram has moved into the negative zone and continued to decline, indicating the sales on the GBP/USD currency pair.

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

The publication of important statistics on the British economy is not planned today.

Trading recommendations

Support levels: 1.23450
Resistance levels: 1.24350, 1.24900

We expect a further decline of the GBP/USD currency pair. We recommend to consider selling to a local support of 1.23450.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.33964
Opening: 1.33425
Chg. % for the last day: +0.06
Day range: 1.33367 – 1.33988
52-week range: 1.2458 – 1.4692

Today’s trading on the USD/CAD currency pair began with a gap down (more than 50 pips). At the moment, the currency continues to be traded in a range of 1.33700-1.34150.

forex-forecast-usdcad-07-11-2016

Indicators do not send strong signals.

The MACD histogram is in the negative zone, but above the signal line.

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

Important data on the economy of Canada is not released today.

Trading recommendations:
Support levels: 1.33700
Resistance Levels: 1.34150

If the price overcomes and fixes above the resistance level of 1.34150, the USD/CAD currency pair may grow to the level of 1.34500.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 102.971
Opening: 104.071
Chg. % for the last day: +0.16
Day range: 103.767 – 104.605
52-week range: 99.08 – 123.69

Today, the demand for safe yen has weakened considerably. Trading on the USD/JPY currency pair opened with a gap up (over 100 pips). During the Asian trading session, the Japanese currency continued to lose ground against the US dollar.

forex-forecast-usdjpy-07-11-2016

The MACD histogram has fixed in the positive zone and is above its signal line, indicating further growth of the USD/JPY currency pair.

The Stochastic Oscillator is near overbought, the %K line crossed the %D line. The indicator doesn’t send any signals.

The news background for the Japanese economy is calm now.

Trading recommendations:

Support levels: 103.950
Resistance levels: 104.750, 105.200

We recommend to search for entry points from the key support and resistance levels. If the USD/JPY quotes fix above 104.750, the currency may grow to the local resistance of 105.200.