Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 12 December, 2016

Forecast for the EURUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.06155
Opening: 1.05326
Chg. % for the last day: -0.50
Day range: 1.05250 – 1.05694
52-week range: 1.0538 – 1.1616

On Friday, 9 December, the euro continued to decline against the US dollar. The EUR/USD quotes fell by more than 80 pips. At the moment, the currency has found support at 1.05300.

forex-forecast-eurusd-12-12-2016

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

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

At 21:00 (GMT + 2: 00) a report on the US federal budget utilization will be released.

Trading recommendations:

Support levels: 1.05300
Resistance levels: 1.06250, 1.07150

A technical pattern of the EUR/USD currency pair indicates the development of the corrective movement. If the price fixes above the level of 1.05700, be sure to consider buying of EUR/USD to the local resistance of 1.06250.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.25820
Opening: 1.25743
Chg. % for the last day: -0.08
Day range: 1.25714 – 1.26046
52-week range: 1.2016 – 1.5513

During Friday’s trading session a significant change in GBP/USD rate did not happen. Currency kept the support level of 1.25650. At the moment, there is an increase in demand for the British currency.

forex-forecast-gpbusd-12-12-2016

Indicators point to buyers’ force. The MACD histogram has started to rise and fixed above the signal line.

Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which also indicates an increase of the GBP/USD currency pair.

The news background for the UK economy is calm.

Trading recommendations:

Support levels: 1.25650
Resistance levels: 1.26400, 1.27000

We expect the development of an upward trend in the GBP/USD currency pair. We recommend buying to around 1.26400.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.31912
Opening: 1.31414
Chg. % for the last day: -0.10
Day range: 1.31100 – 1.31625
52-week range: 1.2458 – 1.4692

The Canadian dollar rose significantly in price last week. The USD/CAD currency pair fell by more than 150 pips. Today, the Canadian currency rally has continued. Trading opened with a «gap down».

forex-forecast-usdcad-12-12-2016

Indicators signals are ambiguous. The MACD histogram has fixed in the negative zone and below its signal line, indicating sales of USD/CAD.

Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, indicating the growth of the USD/CAD currency pair.

Important economic news from Canada is not expected today.

Trading recommendations:

Support levels: 1.31150
Resistance levels: 1.31800

Our Friday’s expectations were confirmed. We believe that the USD/CAD currency pair may continue to fall to the level of 1.30750.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 114.012
Opening: 115.405
Chg. % for the last day: -0.45
Day range: 115.153 – 115.872
52-week range: 99.08 – 123.69

The yen is under pressure due to weak data on the index of business activity in the services sector. In November the figure was 0.2%, compared with market expectations of 0.3%. During the Asian trading session, the USD/JPY quotes rose by more than 50 pips.

forex-forecast-usdjpy-12-12-2016

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

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

It is necessary to pay attention to the news feed from the US.

Trading recommendations:

Support levels: 115.250, 114.350
Resistance levels: 116.000

Friday’s forecast was quite accurate. We believe that the “bullish” moods on the USD/JPY currency pair may continue. We recommend buying to around 116.400.