Forex forecast on February 24 for EURUSD, GBPUSD, USDCAD, USDJPY

The forecast for EUR/USD

Technical indicators of the currency pair:

Prev. Opening: 1.05566
Opening: 1.05815
Chg. % Last day: +0.24
Day range: 1.05612 – 1.06011
52-week range: 1.0366 – 1.1616

Yesterday, purchases prevailed on the EUR/USD currency pair. The quotations rose by 0.24%. Today, the euro rally has continued. At the moment, the currency is being traded close to the “mirror” support level of 1.05850.

forex-forecast-eurusd-24-02-2017

The MACD histogram has consolidated in the positive zone and continues to rise, indicating the growth of the EUR/USD currency pair.

Stochastic Oscillator has reached overbought zone, the %K line is above the %D line, that delivers a weak signal to buy EUR/USD.

Economic Calendar on 02/24/2017:
– the expectations and consumer sentiments index from the University of Michigan (17:00 GMT + 2: 00);
– new home sales in the US (17:00 GMT + 2: 00).

Trading recommendations:

Support levels: 1.05850, 1.05300
Resistance levels: 1.06250

The previous forecast was confirmed. We believe that the EUR/USD quotes growth may continue. The potential for movement – 1.06250-1.06500.

The forecast for GBP/USD

Technical indicators of the currency pair:

Prev. Opening: 1.24431
Opening: 1.25538
Chg. % Last day: +0.84
Day range: 1.25356 – 1.25700
52-week range: 1.1986 – 1.5020

Yesterday, aggressive buying was observed on the GBP/USD currency pair. The pound rose against the US dollar by more than 100 points. The currency found resistance at 1.25600. During the Asian session, the trading was calm.

forex-forecast-gpbusd-24-02-2017

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

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which indicates a correction in GBP/USD.

At 11:30 (GMT + 2: 00), the data on the number of BBA mortgage approvals will be published.
 
Trading recommendations:

Support levels: 1.25100, 1.24700
Resistance levels: 1.25600

We expect further growth of the GBP/USD quotations. The target level of movement is to 1.25900-1.26000.

The forecast for USD/CAD

Technical indicators of the currency pair:

Prev. Opening: 1.31647
Opening: 1.31040
Chg. % Last day: -0.45
Day range: 1.30778 – 1.31187
52-week range: 1.2458 – 1.4692

At the moment the bullish moods prevail on the USD/CAD currency pair. During yesterday’s trading session, the Canadian dollar rose in price by more than 60 points. We expect statistics on the Canadian economy.

forex-forecast-usdcad-24-02-2017

The MACD histogram is in the negative zone and below its signal line, indicating a continuation of the downward trend in USD/CAD.

Stochastic Oscillator has reached oversold zone, the %K line is below the %D line, which delivers a weak signal to sell USD/CAD.

At 15:30 (GMT + 2: 00) the data on basic consumer price index in Canada will be released.

Trading recommendations:

Support levels: 1.30850, 1.30450
Resistance levels: 1.31200

If data on inflation in Canada is optimistic, fall in the USD/CAD quotes may continue to around 1.30450.

An alternative could be a correction in USD/CAD to the resistance level of 1.31200.

The forecast for USD/JPY

Technical indicators of the currency pair:

Prev. Opening: 113.285
Opening: 112.609
Chg. % Last day: -0.63
Day Range: 112.503 – 112.953
52-week range: 99.08 – 123.69

Demand for the yen is supported against the background of the political risks growth in the EU and the profitability of US government bonds reduction. At the moment the USD/JPY currency pair is testing the local support level of 112.50.

forex-forecast-usdjpy-24-02-2017

The MACD histogram is in the negative zone and continued to decline, indicating the “bearish” moods in USD/JPY.

Stochastic Oscillator is near oversold zone, the %K line is below the %D line, which delivers a weak signal to sell USD/JPY.

We recommend to pay attention to the statistics on the US economy.

Trading recommendations:

Support levels: 112.500
Resistance levels: 113.000, 113.500

Our assumptions were confirmed yesterday. We expect a further decline of the USD/JPY currency pair. The potential for movement is to 112.100-112.000.