The Analytical Overview of the Main Currency Pairs on 2018.04.19


The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.23708
  • Open: 1.23731
  • % chg. over the last day: +0.07
  • Day’s range: 1.236461.23867
  • 52 wk range: 1.05711.2557

Since the beginning of this week, the EUR/USD currency pair has been in a sideways trend. A unidirectional trend is not observed. At the moment, the key support and resistance levels are: 1.23650 and 1.24000, respectively. Demand for the US currency began to recover. We expect important economic reports from the United States. Positions must be opened from the key levels.

The news feed on the US economy on 2018.04.19:
  • The number of initial jobless claims at 15:30 (GMT+3:00);
  • Philadelphia Fed manufacturing index at 15:30 (GMT+3:00).
EUR/USD

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

The MACD histogram moved into the positive zone.

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

Trading recommendations
  • Support levels: 1.23650, 1.23350, 1.23000
  • Resistance levels: 1.24000, 1.24500

If the price fixes below the support level of 1.23650, the EUR/USD currency pair is expected to decline. The movement is tending potentially to 1.233501.23000.

Alternative option. If the price fixes above the round level of 1.24000, it is necessary to consider purchases of EUR/USD. The target movement level is 1.24500.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.42855
  • Open: 1.41991
  • % chg. over the last day:0.59
  • Day’s range: 1.418491.42189
  • 52 wk range: 1.23611.4345

Yesterday, pound continued to lose ground against the US dollar. The fall in the GBP/USD quotes exceeded 85 points. Pound was under pressure after the publication of a weak inflation report in the UK. In March, consumer prices in the country decreased by 0.1% compared to the increase by 0.4% last month. At the moment, the trading instrument is consolidating. Investors expect important statistics on the UK economy. The key range is 1.418501.42350. The positions must be opened from these marks.

At 11:30 (GMT+3:00) data on retail sales in the UK will be published.

GBP/USD

The signals of indicators are ambiguous. The price crossed 200 MA.

The MACD histogram is in the negative zone, 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 quotes.

Trading recommendations
  • Support levels: 1.41850, 1.41250, 1.40700
  • Resistance levels: 1.42350, 1.42850, 1.43350

If the price fixes below the support level of 1.41850, further decline in the GBP/USD quotes is expected. The movement is tending potentially to 1.412501.41000.

Alternative option. If the price fixes above 1.42350, it is necessary to consider purchases of GBP/USD. The movement is tending potentially to 1.42850.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.25462
  • Open: 1.26279
  • % chg. over the last day: +0.64
  • Day’s range: 1.260581.26451
  • 52 wk range: 1.2059 1.3795

The Bank of Canada, as expected, left the key interest rate unchanged at 1.25%. At a press conference, the head of the Central Bank took a cautious stance. In the near future, the regulator is going to adhere to the current rate of monetary policy. At the moment, the key trading range is 1.259001.26450. The further growth of the USD/CAD quotes is not excluded. We recommend opening positions from the key levels.

At 15:30 (GMT+3:00), ADP nonfarm employment change in Canada will be published.

USD/CAD

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

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

Stochastic Oscillator reached the oversold zone, the %K line crossed the %D line. There are no signals at the moment.

Trading recommendations
  • Support levels: 1.25900, 1.25500, 1.25000
  • Resistance levels: 1.26450, 1.26750, 1.27300

If the price fixes above 1.26450, further correction of the USD/CAD currency pair is expected. The movement is tending potentially to 1.267501.27000.

Alternative option. If the price fixes below 1.25900, it is necessary to consider sales of USD/CAD. The movement is tending potentially to 1.255001.25300.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 106.993
  • Open: 107.227
  • % chg. over the last day: +0.34
  • Day’s range: 107.182107.516
  • 52 wk range: 104.56114.74

There is an ambiguous technical pattern on the USD/JPY currency pair. At the moment, the key support and resistance levels are: 107.150107.350. The USD/JPY quotes have the potential for growth. Today, economic reports from the United States are in the focus of attention. We recommend opening positions from the key support and resistance levels.

The news feed on Japan’s economy is calm.

USD/JPY

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

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

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which indicates the USD/JPY price drop.

Trading recommendations
  • Support levels: 107.150, 106.900, 106.700
  • Resistance levels: 107.350, 107.500, 107.750

If the price fixes above the resistance level of 107.350, it is necessary to consider purchases of USD/JPY. The movement is tending potentially to 107.750108.000.

Alternative option. If the price fixes below the support level of 107.150, the USD/JPY quotes are expected to fall. The movement is tending potentially to 106.900106.700.

by JustMarkets, 2018.04.19

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.