The Analytical Overview of the Main Currency Pairs on 2017.08.29

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.19434
  • Open: 1.19777
  • % chg. over the last day: +0.11
  • Day's range: 1.19545 – 1.20329
  • 52 wk range: 1.0339 – 1.1909

The single currency has reached the highest level in the past two years. At the moment the EUR/USD quotes are testing the local resistance of 1.20300. The nearest support is at 1.19800. Investors expect that ECB will announce the beginning of the quantitative easing program reduction at a meeting in September. We are waiting for statistics from the USA.

At 17:00 (GMT+3:00) the consumer confidence index in the US will be published.

EUR/USD

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

The MACD histogram is in the positive zone and above the signal line, which signals the further growth of the EUR/USD currency pair.

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: 1.19800, 1.19250, 1.18250
  • Resistance levels: 1.20300

If the statistics from the US turns out to be weak, the growth of the EUR/USD quotes may continue. The movement is tending to 1.20750-1.21000.

An alternative may be the correction of the EUR/USD currency pair to the level of 1.19800-1.19500.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.29240
  • Open: 1.29311
  • % chg. over the last day: +0.18
  • Day's range: 1.29201 – 1.29649
  • 52 wk range: 1.1450 – 1.3447

GBP/USD continues to recoup after a significant decline since the beginning of this month. Today in the Asian trading session there have been aggressive purchases. At the moment, the key trading range is 1.29250-1.29600. The trading instrument has the potential for further growth.

There are no important economic reports from the UK today.

GBP/USD

The price has fixed above 50 MA and 200 MA, which signals the power of buyers.

The MACD histogram is located in the positive area and continues to rise, which signals the purchase of GBP/USD.

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: 1.29250, 1.28850
  • Resistance levels: 1.29600

We expect further growth of the GBP/USD currency pair. We recommend looking for entry points to the market for opening long positions. The movement is tending to the round level of 1.30000.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.24758
  • Open: 1.25041
  • % chg. over the last day: +0.31
  • Day's range: 1.24529 – 1.25342
  • 52 wk range: 1.2414 – 1.3795

At the moment, USD/CAD is being traded in a flat with a fairly wide range. The trading instrument tests the key support and resistance levels: 1.24500 and 1.25300 respectively. In the near future, a technical correction is possible. We recommend paying attention to the dynamics of the "black gold" quotes.

The news background on Canada's economy is calm today. At 15:30 (GMT+3:00), the raw material price index (RMPI) will be published.

USD/CAD

Indicators point to the power of sellers. The price is below 50 MA and 200 MA.

The MACD histogram has begun to decline and has moved to the negative zone, which indicates a "bearish" sentiment on USD/CAD.

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

Trading recommendations
  • Support levels: 1.24500
  • Resistance levels: 1.25300, 1.26000

If the statistics from the US turns out to be weak, the downward trend in USD/CAD may continue. The target movement level is 1.24000.

An alternative may be the correction of the USD/CAD quotations to the level of 1.25300-1.25500.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 109.157
  • Open: 109.233
  • % chg. over the last day: -0.56
  • Day's range: 108.324 – 109.272
  • 52 wk range: 99.53 – 118.67

North Korea launched a missile that flew over the territory of Japan. In the near future, the situation on the Korean peninsula may again escalate, which will cause the demand for safe currencies. At the moment, bearish sentiment prevails on USD/JPY. The price is testing local support at 108.350. The mark 108.850 is already a "mirror" resistance. We recommend paying attention to the US government bonds yield.

In the Asian trading session, a weak data on the household spending index in Japan was published.

USD/JPY

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

The MACD histogram is in the negative zone and below the signal line, which signals a fall in USD/JPY.

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

Trading recommendations
  • Support levels: 108.350, 108.000
  • Resistance levels: 108.850, 109.350

We expect a downward trend on the USD/JPY currency pair. We recommend considering selling. The target movement level is 108.000-107.750.

by JustForex, 2017.08.29

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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.