The Analytical Overview of the Main Currency Pairs on 2017.06.29

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.13374
  • Open: 1.13776
  • % chg. over the last day: +0.35
  • Day's range: 1.13734 – 1.14286
  • 52 wk range: 1.0366 – 1.1616

At the moment, there is a pronounced upward trend on EUR/USD. Since the beginning of this week, the euro has added more than 200 points. Support was provided by the comments of the head of the ECB on the positive dynamics throughout the euro area. These statements have increased expectations that in the near future the Central Bank may raise the issue of reducing the program of motivation. At the same time, some ECB representatives reported that the financial markets participants misread Mario Draghi's narrative. At the moment, the key trading range is 1.13500-1.14250. We expect economic reports from the USA.

The news background on 2017.06.29:

  • - Statistics on US GDP at 15:30 (GMT+3:00);
  • - The number of initial claims for unemployment benefits in the US at 15:30 (GMT+3:00).
EUR/USD

The price is above 50 MA and 200 MA, which indicates the strength of buyers.

The MACD histogram has fixed in the positive zone and continues to rise, which signals a further increase in EUR/USD.

Stochastic Oscillator is located in the neutral zone, the %K line crossed the %D line. There are no signals at the moment.

Trading recommendations
  • Support levels: 1.13500, 1.13000
  • Resistance levels: 1.14250

If the statistics from the US turns out to be weak, the growth of the EUR/USD currency pair may continue. The movement is tending potentially to 1.14750-1.15000.

An alternative may be a correction movement to the support level of 1.13500.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.28137
  • Open: 1.29198
  • % chg. over the last day: +0.97
  • Day's range: 1.29195 – 1.29951
  • 52 wk range: 1.1986 – 1.5020

Yesterday, there were aggressive purchases on GBP/USD. The pound rose against the US dollar by more than 120 points. Today, the UK currency rally has continued. The head of the Bank of England said that in the near future it would be necessary to raise the issue of raising the key interest rate. At the moment, the key trading range is 1.29200-1.30000.

There are no important economic reports from the UK today. We recommend paying attention to the news background from the USA.

GBP/USD

The GBP/USD quotes have fixed above 50 MA and 200 MA, which indicates the strength of buyers.

The MACD histogram is in the positive zone and continues to rise, which signals a bullish sentiment on GBP/USD.

Stochastic Oscillator is located in the neutral zone, the %K line crossed the %D line. There are currently no signals.

Trading recommendations
  • Support levels: 1.29200, 1.28300
  • Resistance levels: 1.30000

If economic reports from the US are positive, a correction to the support level of 1.29200 may develop on the GBP/USD currency pair.

An alternative may be further growth of GBP/USD. The target movement level is 1.30500.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.31972
  • Open: 1.30261
  • % chg. over the last day: -1.21
  • Day's range: 1.30041 – 1.30413
  • 52 wk range: 1.2458 – 1.4692

Since the beginning of this week, there has been a significant demand for the Canadian dollar. During this period, the drop in the USD/CAD quotations exceeded 250 points. The currency of Canada is supported by a correction in the market of "black gold". At the moment, the key support is the round level of 1.30000. The local resistance is 1.30500.

We recommend paying attention to economic reports from the USA.

USD/CAD

Indicators point to the strength of sellers. The price has fixed below 50 MA and 200 MA.

The MACD histogram is in the negative zone and continues to decline, which signals a bearish sentiment on USD/CAD.

Stochastic Oscillator is located in the neutral zone, the %K line is below the %D line, which also gives a signal to sell USD/CAD.

Trading recommendations
  • Support levels: 1.30000
  • Resistance levels: 1.30500, 1.31300

If the statistics from the US turns out to be weak, the fall in the USD/CAD quotations may continue. The movement is tending potentially to 1.29500.

Alternative option. If the price consolidates above the local resistance of 1.30500, a corrective movement may develop to the mark of 1.31000-1.31300.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 112.328
  • Open: 112.282
  • % chg. over the last day: -0.01
  • Day's range: 112.129 – 112.496
  • 52 wk range: 99.08 – 123.69

Yesterday, trading on USD/JPY was quite active. However, a unidirectional trend was not observed. The yen did not change significantly. The key levels of support and resistance are 112,000 and 112,500 respectively. At the moment, the price is testing the upper limit of the trading range. We recommend paying attention to the news line from the US and the government bonds yield.

In May, the volume of retail sales in Japan increased by 2.0%, which is less than the forecasted value at 2.6%.

USD/JPY

Indicators point to the power of buyers. The price is above 50 MA and 200 MA.

The MACD histogram has fixed in the positive zone and continued to rise, which signals the growth of USD/JPY.

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

Trading recommendations
  • Support levels: 112.000, 111.600
  • Resistance level: 112.500

We expect an upward trend in USD/JPY. If the price consolidates above the key resistance 112.500, we recommend you to look for entry points to the market in order to open long positions. The movement is tending potentially to the round level of 113.000.

Alternative option. If the statistics from the US turns out to be weak, sales may prevail on the USD/JPY currency pair. The target movement level is 112.000.

We recommend you to get acquainted with the daily overview of the news feed.

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.