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The Analytical Overview of the Main Currency Pairs on 2017.06.13

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.12066
  • Open: 1.12020
  • % chg. over the last day: +0.01
  • Day's range: 1.11849 – 1.12083
  • 52 wk range: 1.0366 – 1.1616

Yesterday, the EUR/USD currency pair kept the resistance level of 1.12250, which caused a bearish sentiment in the second half of the day. The probability of an increase in interest rates of the Fed at tomorrow's meeting is 99.6%, which supports the demand for the US dollar. We expect statistics from the EU and the US.

The economic calendar on 2017.06.13:
  • – The ZEW economic sentiment index in Germany at 12:00 (GMT+3:00);
  • – The ZEW economic sentiment index in the Eurozone at 12:00 (GMT+3:00);
  • – The producer price index in the US at 15:30 (GMT+3:00).
EUR/USD

The price is testing 50 MA, which currently is a rather strong dynamic resistance.

The MACD histogram is in the negative zone and continues to decline, which indicates the bearish sentiment of EUR/USD.

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

Trading recommendations
  • Support levels: 1.11800, 1.11200
  • Resistance levels: 1.12000, 1.12250, 1.12800

If the EU statistics turn out to be weak, sales may prevail on the EUR/USD currency pair. The movement is tending potentially to 1.11500-1.11250.

An alternative may be an upward trend on EUR/USD. The target movement level is 1.12500. When tracking positions, one should use a trailing stop.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.27099
  • Open: 1.26541
  • % chg. over the last day: -0.69
  • Day's range: 1.26420 – 1.2694
  • 52 wk range: 1.1986 – 1.5020

During yesterday's trading, the pound continued to lose ground against the US dollar. The GBP/USD currency pair reached key support of 1.26400. In the Asian session, there was a technical correction. The nearest resistance is the round level of 1.27000. We expect economic reports from Britain.

At 11:30 (GMT+3:00) the statistics on inflation in the UK will be published.

GBP/USD

The signals of the indicators are ambiguous. The price has fixed below 50 MA and 200 MA.

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

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

Trading recommendations
  • Support levels: 1.26400
  • Resistance levels: 1.27000, 1.27600, 1.28350

If economic reports from the UK are positive, a correction may occur on the GBP/USD currency pair. The movement is tending potentially to the resistance level of 1.27600.

An alternative may be a further drop in GBP/USD. The target level of movement is 1.26400-1.26000.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.34542
  • Open: 1.33224
  • % chg. over the last day: -0.99
  • Day' range: 1.32678 – 1.33242
  • 52 wk range: 1.2458 – 1.4692

Yesterday, the aggressive sales were observed on USD/CAD. The Canadian dollar rose against the US dollar by more than 125 points. The Bank of Canada Senior Deputy Governor Carolyn A. Wilkins said that in the near future, the Central Bank may consider raising interest rates. Today, the downward trend has continued. The currency found support at 1.32700. The local resistance is 1.33250.

There are no important statistics on Canada's economy today. We recommend paying attention to the news line from the USA.

USD/CAD

The price has fixed below 50 MA and 200 MA, which indicates the strength of sellers.

The MACD histogram is located in the negative zone and below the signal line, which gives the signal to sell USD/CAD.

Stochastic Oscillator is in the neutral zone, the %K line crossed the %D line. There are np signals at the moment.

Trading recommendations
  • Support levels: 1.32700
  • Resistance levels: 1.33250, 1.34000, 1.34400

We expect a further decline in USD/CAD. If the price overcomes the local support of 1.32700, we recommend considering sales. The target movement level is 1.32250.

Alternative option. If the price fixes above the local resistance of 1.33250, a technical correction may develop on the USD/CAD currency pair. The movement is tending potentially to 1.33500-1.33750.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 110.310
  • Open: 109.928
  • % chg. over the last day: -0.34
  • Day' range: 109.772 – 110.272
  • 52 wk range: 99.08 – 123.69

At the moment, the technical pattern is ambiguous on USD/JPY. Since the beginning of this week, key support and resistance levels have been formed: 109.800 and 110.400, respectively. It is better to open positions from these marks. The market is waiting for additional drivers.

It is necessary to pay attention to statistics from the USA.

USD/JPY

Indicators do not send accurate signals. The price crossed 50 MA and 200 MA.

The MACD histogram has begun to rise and moved to the positive zone, which indicates the growth of USD/JPY.

Stochastic Oscillator is located near the overbought zone, the %K line is above the %D line, which gives a weak signal to buy USD/JPY.

Trading recommendations
  • Support levels: 109.800, 109.250
  • Resistance levels: 110.400, 111.000

If the USD/JPY quotations fix above the level of 110.400, we recommend considering purchases. The movement is tending potentially to the round level of 111.000.

Alternative option. If the price overcomes the support level of 109.800, a bearish sentiment may prevail on the USD/JPY currency pair. The target movement level is 109.250.

by JustForex, 2017.06.13

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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.