Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 15 February, 2017

Technical showings of the currency pair:

Pre-opening: 1.05958
Opening: 1.05774
Chg. % for the last day: -0.20
Day range: 1.05599 – 1.05863
52-week range: 1.0366 – 1.1616

Yesterday, the US dollar strengthened against major world currencies. Fed Chairman Yellen stated that one should not delay an increase in interest rates in 2017. Other representatives of the Central Bank also believe that there are all preconditions for monetary policy tightening in the near future. At the moment the EUR/USD currency pair is testing the support level of 1.05600.

forex-forecast-eurusd-15-02-2017

MACD histogram is in the negative zone and continued to decline, indicating the drop of the EUR/USD quotes.

Stochastic Oscillator has consolidated in the neutral zone, the %K line is below the %D line, which also points to sales of EUR/USD.

Economic Calendar on 15.02.2017:
– the trade balance in the euro area (12:00 GMT + 2: 00);
– core consumer price index in the US (15:30 GMT + 2: 00);
– base index of retail sales in the US (15:30 GMT + 2: 00);
– Consumer Price Index in the US (15:30 GMT + 2: 00);
– the volume of retail sales in the US (15:30 GMT + 2: 00);
– the volume of industrial production in the US (16:15 GMT + 2: 00);
– Fed Chairman Yellen’s speech (17:00 GMT + 2: 00).

Trading recommendations:

Support levels: 1.05600
Resistance levels: 1.06150, 1.06550

If US economic statistics is positive, the EUR/USD currency pair may continue to fall. The movement may continue to 1.05000.

An alternative would be the EUR/USD correction to the level of 1.06150.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.25241
Opening: 1.24661
Chg. % for the last day: -0.46
Day range: 1.24450 – 1.24755
52-week range: 1.1986 – 1.5020

During yesterday’s trading, the pound weakened against the US currency. The GBP/USD quotations fall exceeded 50 points. At the moment, the currency is being traded in flat. The market is waiting for statistics on the labor market of the UK.

forex-forecast-gpbusd-15-02-2017

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

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which indicates the development of the downward trend on GBP/USD.

The news background for the UK economy:
– the average level of wages, taking into account premiums (11:30 GMT + 2: 00);
– change in the number of applications for unemployment benefits (11:30 GMT + 2: 00);
– unemployment level (11:30 GMT + 2: 00).

Trading recommendations:

Support levels: 1.24000
Resistance levels: 1.24700, 1.25500

If statistics on the UK labor market is optimistic, a correction may develop to around 1.25250.

An alternative would be a continuation of the “bearish” moods. The nearest target for taking profit is 1.24000.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.30713
Opening: 1.30745
Chg. % for the last day: +0.04
Day range: 1.30633 – 1.30953
52-week range: 1.2458 – 1.4692

Yesterday’s trading on the USD/CAD currency pair was very active. This is due to the performance of the US Fed Chairman Yellen. The currency kept the key support level of 1.30400, prompting aggressive buying in the afternoon. We expect statistics from the US.

forex-forecast-usdcad-15-02-2017

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

Stochastic Oscillator has consolidated near the oversold zone, the %K line crossed the %D line. Currently, there are no signals.

At 15:30 (GMT + 2: 00), the data on sales in the manufacturing sector of Canada will be published.

Trading recommendations:

Support levels: 1.30400
Resistance levels: 1.30900, 1.31350

We expect the upward trend on the USD/CAD currency pair. If the price consolidates above the level of 1.30900, be sure to consider purchases to a local resistance 1.31250.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 113.726
Opening: 114.258
Chg. % for the last day: +0.45
Day range: 114.210 – 114.596
52-week range: 99.08 – 123.69

Yesterday, purchases prevailed on the USD/JPY currency pair. The yen weakened against the US dollar by more than 60 points and hit 114.500.

forex-forecast-usdjpy-15-02-2017

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

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

We recommend to pay attention to the news feed from the US.

Trading recommendations:

Support levels: 113,850, 113.300
Resistance levels: 114.500

One should consider buying to around 114.900-115.000.