The Analytical Overview of the Main Currency Pairs on 2017.07.28

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.17330
  • Open: 1.16760
  • % chg. over the last day: -0.37
  • Day's range: 1.16709 – 1.17158
  • 52 wk range: 1.0366 – 1.1777

During yesterday's trading, the US dollar recouped some of the losses relative to the majors. This movement was largely caused by profit-taking ahead of today's US GDP report. At the moment, the technical pattern of EUR/USD is ambiguous. The price is testing the round level of 1.17000. Participants of the financial markets adopted a wait-and-see attitude. It should be recalled that the past statistical data from the United States was mixed. At the same time, experts expect that in the second quarter of the US GDP will grow by 2.6% compared with the previous value of 1.4%.

At 15:30 (GMT+3:00), the US GDP report will be published.

EUR/USD

Indicators do not send accurate signals. The EUR/USD quotes are close to 50 MA, which is currently a quite strong dynamic support.

The MACD histogram has fixed near the 0 mark.

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

Trading recommendations
  • Support levels: 1.16500, 1.15750
  • Resistance levels: 1.17000, 1.17750

We recommend waiting for the publication of the report on the US GDP.

If the statistics prove to be positive, a further correction on the EUR/USD currency pair is possible. The movement is tending potentially to 1.16000-1.15750.

An alternative may be the growth of the EUR/USD quotations. The target movement level is 1.17750-1.18000.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.31112
  • Open: 1.30585
  • % chg. over the last day: -0.34
  • Day's range: 1.30572 – 1.30896
  • 52 wk range: 1.1450 – 1.3447

Yesterday, sales prevailed on GBP/USD. The currency held back the resistance at 1.31500, which caused a sharp weakening of the pound. At the moment, the technical pattern is ambiguous. The key support and resistance levels are 1.30600 and 1.31000. Investors expect the publication of a report on the US GDP.

The news background on the UK economy is calm.

GBP/USD

GBP/USD has fixed between 50 MA and 200 MA, which are strong dynamic levels of support and resistance.

The MACD histogram is located in the negative area, but above the signal line, which gives a weak signal to sell GBP/USD.

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

Trading recommendations
  • Support levels: 1.30600, 1.30100
  • Resistance levels: 1.31000, 1.31500

If the statistics from the US is positive, we recommend considering selling GBP/USD to the level of 1.30100-1.30000.

An alternative may be the growth of the GBP/USD currency pair to the resistance level of 1.31500.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.24438
  • Open: 1.25500
  • % chg. over the last day: +0.76
  • Day's range: 1.25284 – 1.25674
  • 52 wk range: 1.2520 – 1.3795

There is a correction on the USD/CAD currency pair. Yesterday, the Canadian dollar slumped against the US currency. The growth of the USD/CAD quotations exceeded 0.75%. At the moment, the price is testing the "mirror" support of 1.25350. The local resistance is the mark of 1.25750. We are waiting for statistics on the GDP of the US and Canada. Positions must be opened from the key levels.

At 15:30 (GMT+3:00) a report on Canada's GDP will be released.

USD/CAD

The signals of the indicators are ambiguous. The price is between 50 MA and 200 MA.

The MACD histogram has fixed in the positive area, but below the signal line, which gives a weak signal to buy USD/CAD.

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

Trading recommendations
  • Support levels: 1.25350, 1.24850, 1.24150
  • Resistance levels: 1.25750, 1.26500

If the report on Canada's GDP turns out to be weak, the correction of the USD/CAD currency pair may continue. The movement is tending potentially to 1.26000-1.26500. When tracking a position, one should use a trailing stop.

Alternatively, the USD/CAD quotes may drop to the already "mirror" supports of 1.24850-1.24500.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 111.132
  • Open: 111.245
  • % chg. over the last day: +0.07
  • Day's range: 110.874 – 111.329
  • 52 wk range: 99.53 – 118.67

Yesterday's trading on USD/JPY was very active. At the same time, a unidirectional trend was not observed. At the moment, the currency is consolidating before the release of important statistics from the US. The key trading range is 110.850-111.300. We recommend you to open positions from these levels.

In the Asian trading session, positive data on household spending and consumer price indices in Japan were published.

USD/JPY

The price is close to 50 MA, which at the moment is a fairly strong dynamic resistance.

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

Stochastic Oscillator is located in the neutral zone, the %K line is above the %D line, which indicates the growth of USD/JPY.

Trading recommendations
  • Support levels: 110.850
  • Resistance levels: 111.300, 112.00

If the US GDP report is positive, a bullish sentiment may prevail on the USD/JPY currency pair. The movement is tending potentially to the round level of 112.000.

An alternative may be a downward trend in USD/JPY. The target movement level is 110.500.

by JustForex, 2017.07.28

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This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

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