Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 16 November, 2016

Forecast for the EURUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.07382
Opening: 1.07227
Chg. % for the last day: -0.15
Day range: 1.06992 – 1.07606
52-week range: 1.0538 – 1.1616

Yesterday, the euro showed diversified dynamics. The currency tested local support and resistance levels: 1.07100 and 1.08000. The dollar is supported by optimistic data on US retail sales.

forex-forecast-eurusd-16-11-2016

Indicators do not send strong signals. The MACD histogram has fixed near the 0 mark.

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

The news background on the US economy:
– PPI (15:30 GMT + 2: 00);
– The volume of industrial production (16:14 GMT + 2: 00).

Trading recommendations:

Support levels: 1.07100
Resistance levels: 1.08000

In the case of the publication of optimistic statistics on the US economy, the downward trend on the EUR/USD currency pair may continue to the level of 1.06500.

An alternative could be the development of a corrective movement to the local resistance 1.08000.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.24878
Opening: 1.24549
Chg. % for the last day: -0.25
Day range: 1.24350 – 1.25028
52-week range: 1.2016 – 1.5513

Yesterday, there was an increased trading activity on the GBP/USD currency pair against the background of the important statistics on the UK economy release. A unidirectional movement on the market was not observed. At the moment, the currency is being traded in a range of 1.24350-1.25350.

forex-forecast-gpbusd-16-11-2016

Indicators signals are ambiguous. The MACD histogram has started to rise and moved into the positive zone, indicating purchases on 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 the GBP/USD currency pair.

Today important data on the labor market in the UK will be released:
– The average level of wages, taking into account premiums (11:30 GMT + 3: 00);
– Change in the number of applications for unemployment benefits (11:30 GMT + 3: 00);
– Unemployment level (11:30 GMT + 3: 00).

Trading recommendations:

Support levels: 1.24350, 1.23600
Resistance levels: 1.2535

If the data on the labor market in Britain has an optimistic nature, quotes of the GBP/USD currency pair may reach 1.25500.

An alternative would be the GBP/USD reduction to the local support level of 1.23600.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.35597
Opening: 1.34480
Chg. % for the last day: -0.79
Day range: 1.34216 – 1.34965
52-week range: 1.2458 – 1.4692

During yesterday’s trading session, there was a correctional movement on the USD/CAD currency pair. The Canadian dollar rose in price by more than 100 pips. At the moment, the currency is testing the “mirror” resistance level of 1.34600.

forex-forecast-usdcad-16-11-2016

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

Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which indicates the development of an upward trend on USD/CAD.

At 15:30 (GMT + 3: 00) data on sales in the manufacturing sector of Canada will be released.

Trading recommendations:

Support levels: 1.34050
Resistance levels: 1.34600, 1.35300

We expect a continuation of the corrective movement on the USD/CAD currency pair. In case of keeping the resistance level of 1.34600 and appearing of additional evidence on the smaller timeframes, the USD/CAD quotes can achieve the local support of 1.34050.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 108.404
Opening: 109.171
Chg. % for the last day: +0.69
Day range: 108.788 – 109.618
52-week range: 99.08 – 123.69

The yen continues to lose ground against the US dollar. Since the beginning of this week, the USD/JPY currency pair rose in price by more than 250 pips.

forex-forecast-usdjpy-16-11-2016

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

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

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

Trading recommendations:

Support levels: 109.000, 108.000
Resistance levels: 110.000

If statistics from the US is weak, the corrective movement on the USD/JPY currency pair may develop to a local support of 108.500.

An alternative could be the growth of the USD/JPY quotations to around 110.250.