Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 08 December, 2016

Forecast for the EURUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.07177
Opening: 1.07526
Chg. % for the last day: +0.32
Day range: 1.07479 – 1.07846
52-week range: 1.0538 – 1.1616

The market is waiting for the ECB meeting. Most experts believe that the central bank will extend the quantitative easing program and keep the volume of buying assets at a level of 80 billion. Euro. At the moment, the currency is being traded in a range of 1.07400 -1.07950.

forex-forecast-eurusd-08-12-2016

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

Stochastic Oscillator has fixed in the neutral zone, the% K line is below the %D line, indicating the decline of the EUR/USD quotes.

All news from the EU:
– deposit rate (14:45 GMT + 2: 00);
– interest rate decision (14:45 GMT + 2: 00);
– a press conference of the ECB (15:30 GMT + 2: 00).

Also, at 15:30 (GMT + 2: 00), the data on the number of initial claims for unemployment benefits in the US will be released.

Trading recommendations:

Support levels: 1.07400, 1.06850
Resistance levels: 1.07950

Our assumptions were confirmed yesterday. We recommend to wait for the ECB’s decisions regarding future monetary policy. Positions should be opened from the key support and resistance levels.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.26791
Opening: 1.26217
Chg. % for the last day: -0.43
Day range: 1.26152 – 1.26635
52-week range: 1.2016 – 1.5513

Yesterday, there was a high trading activity on the GBP/USD currency pair. This is due to the release of vital statistics for the UK economy. Currently, the pound is being traded near the local demand area of 1.26000-1.26300.

forex-forecast-gpbusd-08-12-2016

The MACD histogram has started to rise and fixed above the signal line, indicating the increase of the GBP/USD currency pair.

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

Important news for the British economy is not expected today.

Trading recommendations:

Support levels: 1.25800
Resistance levels: 1.26850, 1.27500

We expect the development of an upward trend on the GBP/USD currency pair. We recommend buying to around 1.27250.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.32773
Opening: 1.32356
Chg. % for the last day: -0.33
Day range: 1.32078 – 1.32363
52-week range: 1.2458 – 1.4692

The Bank of Canada left its key interest rate unchanged. During yesterday’s trading, the growth of the Canadian dollar against the US dollar continued. The USD/CAD currency pair overcame and fixed below the support level of 1.32500.

forex-forecast-usdcad-08-12-2016

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

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

The news background on the Canadian economy:
– the volume of new houses construction (15:15 GMT + 2: 00);
– building permits (15:30 GMT + 2: 00);
– an index for new housing prices (15:30 GMT + 2: 00).

Trading recommendations:

Support levels: 1.32000
Resistance levels: 1.32500, 1.33250

We believe that the “bearish” moods on the USD/CAD currency pair may continue. We recommend selling to around 1.31700.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 114.004
Opening: 113.745
Chg. % for the last day: -0.22
Day range: 113.121 – 113.859
52-week range: 99.08 – 123.69

Yesterday’s trading ended with a slight strengthening of the yen. At the moment the USD/JPY currency pair is testing the “mirror” resistance level of 113.600.

forex-forecast-usdjpy-08-12-2016

Indicators point to sellers’ power. The MACD histogram is in the negative zone and continues to decline, indicating the downward trend development on USD/JPY.

Stochastic Oscillator is near the overbought zone, the %K line is below the %D line, which also points to sales of USD/JPY.

We recommend to pay attention to statistics from the US.

Trading recommendations:

Support levels: 112.350
Resistance levels: 113.600, 114.750

Yesterday’s forecast was quite accurate. We believe that correction on USD/JPY may continue. The USD/JPY quotes can reach 113.000.