The Analytical Overview of the Main Currency Pairs on 2017.06.01


The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.11861
  • Open: 1.12443
  • % chg. for the last day: +0.49
  • Day’s range’: 1.12272 1.12569
  • 52 wk range: 1.0366 1.1616

The bullish sentiment prevailed on EUR/USD yesterday. Weak statistics on the real estate market in the US put pressure on the US currency. The euro added more than 50 points. At the moment, the key trading range is 1.122501.12600. We expect economic reports from the EU and the US.

Today we recommend you to pay attention to the following events:
  • statistics on business activity in the manufacturing sector of Germany and the Eurozone at 10:55/11:00 (GMT+3:00);
  • preliminary report on the labor market in the US from ADP at 15:15 (GMT+3:00);
  • the index of business activity in the manufacturing sector of the US from ISM at 17:00 (GMT+3:00).
EUR/USD

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

The MACD histogram is located in the positive area, but below the signal line, which gives a weak signal to buy EUR/USD.

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

Trading recommendations
  • Support levels: 1.12250, 1.11750
  • Resistance levels: 1.12600

Today, it is better to open positions from key levels. We recommend paying attention to economic reports from the EU and the USA.

If the price consolidates above the level of 1.12600, the bullish sentiment may prevail on the EUR/USD currency pair. The immediate goal for profit taking is the round level of 1.13000.

Alternative option. If the price fixes below the local support 1.12250, we recommend you to look for entry points to the market in order to open short positions. The movement is tending potentially to 1.11750.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.28550
  • Open: 1.28855
  • % chg. over the last day: +0.14
  • Day’s range: 1.28396 1.28918
  • 52 wk range: 1.1986 1.5020

Yesterday’s trading was very active on GBP/USD. The currency held a round level of 1.28000, which triggered aggressive purchases in the afternoon. The pound finished the trading session in the positive zone. At the moment, the price has been already testing the “mirror” support level of 1.28500. We are waiting for statistics from the UK.

At 11:30 (GMT+3:00) the data on the index of business activity in the manufacturing sector of Britain will be released.

GBP/USD

At the moment, the indicators do not send accurate signals. The price crossed 50 MA.

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

Stochastic Oscillator is near the oversold zone, the %K line crossed the %D line. There are no signals.

Trading recommendations
  • Support levels: 1.28500, 1.28000
  • Resistance levels: 1.29000

If the statistics from the UK is weak, sales on the GBP/USD currency pair may prevail. The target movement level is 1.28000.

An alternative may be the growth of GBP/USD to a round level of 1.29000.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.34595
  • Open: 1.34978
  • % chg. over the last day: +0.23
  • Day’ range’: 1.34783 1.35100
  • 52 wk range: 1.2458 1.4692

Support for the Canadian dollar is provided by positive data on the country’s GDP and the bullish sentiment in the “black gold” market. At the moment, the following key levels can be distinguished: support1.34700; resistance1.35200. We recommend paying attention to statistics on the US economy.

The news background on Canada’s economy is calm today.

USD/CAD

At the moment, the signals of the indicators are ambiguous. The USD/CAD quotes are close to 50 MA and 200 MA.

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

Stochastic Oscillator has fixed in the neutral zone, the %K line is below the %D line, which indicates the power of the sellers.

Trading recommendations
  • Support levels: 1.34700, 1.34300, 1.34000
  • Resistance levels: 1.35200

We expect a downward trend in USD/CAD. If the price fixes below the support level of 1.34700, we recommend you to look for entry points to the market to open short positions. The target movement level is 1.343001.34000. When tracking the position, it is better to use a trailing stop.

Alternative option. If the USD/CAD quotes consolidate above resistance 1.35200, it is necessary to consider purchases. The movement is tending potentially to 1.35850.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 110.832
  • Open: 110.754
  • % chg. over the last day:0.05
  • Day’s range: 110.644 111.096
  • 52 wk range: 99.08 123.69

On the USD/JPY currency pair, the technical pattern is ambiguous. Over last trading sessions, the unidirectional trends are not observed. Key support and resistance levels can be identified: 110.500 and 111.200, respectively. The market is waiting for additional drivers.

There are no important economic reports from Japan today. It is necessary to pay attention to the news line from the USA.

USD/JPY

The signals of the indicators vary. The price has fixed between 50 MA and 200 MA, which act as strong dynamic levels of support and resistance.

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

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

Trading recommendations
  • Support levels: 110.500
  • Resistance levels: 111.200, 111.500

If economic reports from the US are positive, a bullish sentiment may prevail in the USD/JPY currency pair. The movement is tending potentially to 111.500.

An alternative option may be a downward trend in USD/JPY to the support level of 110.500.

by JustMarkets, 2017.06.01

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.