Forex Forecast for EURUSD, GBPUSD, USDJPY, USDCAD 27 January, 2017

Technical showings of the currency pair:

Pre-opening: 1.07484
Opening: 1.06812
Chg. % for the last day: -0.61
Day range: 1.06582 – 1.06884
52-week range: 1.0366 – 1.1616

During yesterday’s trading session, the US dollar rose against major world currencies. The EUR/USD currency pair has dropped by more than 65 points. At present, the euro is testing the local area demand of 1.06500-1.06650. We expect the US GDP data.

forex-forecast-eurusd-27-01-2017

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

Stochastic Oscillator has come out of the oversold zone, the %K line is above the %D line, indicating the growth of the EUR/USD quotations.

All news on the US economy:
– basic orders for durable goods (15:30 GMT + 2: 00);
– GDP (15:30 GMT + 2: 00);
– the index of consumer expectations and sentiment from the University of Michigan (17:00 GMT + 2: 00).

Also, 12:00 (GMT + 2: 00) a meeting of EU finance ministers will be held.

Trading recommendations:

Support levels: 1.06500
Resistance levels: 1.07150, 1.07550

If the US GDP data is positive, the correction in EUR/USD may continue to the mark of 1.06250-1.06000.

An alternative would be an increase of the EUR/USD quotes up to the resistance of level 1.07150.

Forecast for the GBPUSD currency pair

Technical showings of the currency pair:

Pre-opening: 1.26327
Opening: 1.25959
Chg. % for the last day: -0.32
Day range: 1.25293 – 1.26051
52-week range: 1.2016 – 1.5513

Yesterday, there was a correction in the GBP/USD currency pair. The pound has lost in price more than 40 points. Today, the US dollar has continued to rise against the British currency. At the moment the GBP/USD currency pair is being traded near the support level of 1.25450.

forex-forecast-gbpusd-27-01-2017

Indicators signals are different. The MACD histogram has started to decline and moved into the negative zone, indicating a continuation of the corrective movement on GBP/USD.

Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which gives a signal to buy GBP/USD.

Important news from the UK is not expected today.

Trading recommendations

Support levels: 1.25450, 1.24150
Resistance levels: 1.26600

If statistics from the US is weak, an upward trend in GBP/USD may continue. The potential movement is up to the resistance level of 1.26600.

An alternative could be a further correction in GBP/USD to the level of 1.24750.

Forecast for the USDCAD currency pair

Technical showings of the currency pair:

Pre-opening: 1.30671
Opening: 1.30888
Chg. % for the last day: +0.15
Day range: 1.30824 – 1.31297
52-week range: 1.2458 – 1.4692

Yesterday the USD/CAD currency pair kept the support level of 1.30550, prompting aggressive buying. However, the trading ended with a slight increase of the US currency. Currently, USD/CAD is testing the already “mirror” support level of 1.31100.

forex-forecast-usdcad-27-01-2017

The MACD histogram has started to rise and moved into the positive zone, which indicates the development of an upward trend in USD/CAD.

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, indicating sales of USD/CAD.

We recommend to pay attention to economic data from the United States.

Trading recommendations:

Support levels: 1.31100, 1.30550
Resistance levels: 1.31750

We continue to expect the decrease of the USD/CAD quotes. The immediate objective for profit is 1.30500.

Forecast for the USDJPY currency pair

Technical showings of the currency pair:

Pre-opening: 113.277
Opening: 114.516
Chg. % for the last day: +1.10
Day range: 114.385 – 115.309
52-week range: 99.08 – 123.69

Yesterday, purchases prevailed on the USD/JPY currency pair. The growth of the USD/JPY quotations exceeded 1%. Today, the US dollar rally has continued. The currency reached the key resistance level of 115.300.

forex-forecast-usdjpy-27-01-2017

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

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

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

Trading recommendations:

Support levels: 114.500, 113.850
Resistance levels: 115.300

If the statistical data from the US is optimistic, the growth of the USD/JPY quotations may continue to around 115.700.

An alternative may be a correction in USD/JPY up to the support level of 114.500.