The Analytical Overview of the Main Currency Pairs on 2017.07.24

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.16286
  • Open: 1.16628
  • % chg. over the last day: +0.28
  • Day's range: 1.16377 – 1.16848
  • 52 wk range: 1.0366 – 1.1684

Last week, the euro strengthened significantly against the US dollar. The growth of the EUR/USD quotations exceeded 200 points. The US currency remains under pressure amid weak economic reports and political uncertainty in the US. The key trading range is still 1.16200-1.16750. In the near future, we do not exclude a technical correction. We recommend opening positions from the key levels.

Today you need to pay attention to the following statistics:

  • - Indices of business activity in Germany and the Eurozone at 10:30 (GMT+3:00) and 11:00 (GMT+3:00);
  • - Sales in the secondary housing market in the US at 17:00 (GMT+3:00).
EUR/USD

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

The MACD histogram has begun to decline and is below the signal line, which signals a correction on EUR/USD.

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

Trading recommendations
  • Support levels: 1.16200, 1.15800, 1.14850
  • Resistance levels: 1.16750

If the price fixes above the local resistance of 1.16750, further growth of the EUR/USD currency pair is possible. The target level of movement is 1.17000-1.17250.

Alternative option. If the EUR/USD quotes overcome the level of 1.16200, a corrective movement may develop to the support level of 1.15800.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.29647
  • Open: 1.29859
  • % chg. over the last day: +0.16
  • Day's range: 1.29846 – 1.30228
  • 52 wk range: 1.1986 – 1.5020

At the moment, the GBP/USD has an ambiguous technical pattern. Last trading session, the currency is in a sideways trend. The key support and resistance levels are 1.29600 and 1.30100, respectively. We recommend searching for entry points to the market from these marks.

The news background on the UK economy is calm today.

GBP/USD

Indicators do not send accurate signals. The price is tested at 50 MA and 200 MA, which at the moment are dynamic support.

The MACD histogram is located in the positive area and continues to rise, which indicates the powers of the buyers.

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which sends a signal to sell GBP/USD.

Trading recommendations
  • Support levels: 1.29600, 1.29000
  • Resistance levels: 1.30100, 1.30600

If the price fixes above the local resistance of 1.30100, we recommend you to look for entry points to the market in order to open long positions. The movement is tending potentially to 1.30600.

Alternative option. If the GBP/USD rate overcomes the local support of 1.29600, it is necessary to consider sales. The target movement level is 1.29000.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.25810
  • Open: 1.25323
  • % chg. over the last day: -0.41
  • Day's range: 1.24987 – 1.25491
  • 52 wk range: 1.2520 – 1.3795

On the USD/CAD currency pair the bearish sentiment still prevails. Over the last week, the growth of the Canadian dollar against the US dollar exceeded 120 points. At the moment, the currency is consolidating. The key trading range is 1.25000-1.25500.

Today, the news background on Canada's economy is fairly calm. At 15:30 (GMT+3:00) the data on the volume of wholesale sales will be released.

USD/CAD

The price is below 50 MA and 200 MA, which indicates the power of the sellers.

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

Stochastic Oscillator has fixed in the neutral zone, the %K line has begun to cross the %D line. At the moment there are no signals.

Trading recommendations
  • Support levels: 1.25000
  • Resistance levels: 1.25500, 1.26000

If the price fixes above the "mirror" resistance level of 1.25500, a correction may develop on the USD/CAD currency pair. The immediate goal for fixing profits is a round level of 1.26000.

Alternative option. If the USD/CAD quotes overcome the mark of 1.25000, it is necessary to consider sales. The movement is tending potentially to 1.24500.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 111.888
  • Open: 111.105
  • % chg. over the last day: -0.71
  • Day's range: 110.704 – 111.209
  • 52 wk range: 99.53 – 118.67

On Friday, aggressive sales were observed on USD/JPY. The currency of the "safe haven" added more than 75 points. At the moment, the key levels of support and resistance are 110.700 and 111.150 respectively. Demand for the yen remains at a fairly high level. We recommend paying attention to the US government bonds yield.

There are no important economic reports from Japan today.

USD/JPY

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

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

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

Trading recommendations
  • Support levels: 110.700
  • Resistance levels: 111.150, 111.600

If the price fixes below the local support of 110.700, the downward trend in USD/JPY may continue. The movement is tending potentially to 110.250-110.000.

Alternative option. If the USD/JPY quotes overcome the level of 111.150, we recommend considering buying. The immediate goal for profit-taking is 111.600.

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.