The Analytical Overview of the Main Currency Pairs on 2018.05.11


The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.18494
  • Open: 1.19145
  • % chg. over the last day: +0.54
  • Day’s range: 1.191381.19192
  • 52 wk range: 1.05711.2557

Yesterday, the EUR/USD quotes rose by more than 70 points. The reason was a weak report on inflation in the US. At the moment, the trading instrument is consolidating. Local support and resistance levels are: 1.18800 and 1.19300, respectively. We recommend opening positions from these marks.

The news feed on the economy of the Eurozone and the US is calm today. We recommend paying attention to the speech of the ECB President Mario Draghi.

EUR/USD

The price has fixed between 50 MA and 200 MA, which are strong dynamic support and resistance levels.

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

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

Trading recommendations
  • Support levels: 1.18800, 1.18300
  • Resistance levels: 1.19300, 1.19800, 1.20300

If the price fixes below the support level of 1.18800, the EUR/USD quotes are expected to decline. The movement is tending potentially to 1.183001.18100.

Alternative option. If the price fixes above the resistance of 1.19300, it is necessary to consider purchases of EUR/USD. The movement target level is 1.198001.20000.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.35447
  • Open: 1.35124
  • % chg. over the last day:0.18
  • Day’s range: 1.351231.35210
  • 52 wk range: 1.23611.4345

Yesterday, there were sales on the GBP/USD currency pair. The Bank of England left the interest rate unchanged at 0.50%. The regulator also said that the next raising of the interest rate would be made gradually. At the moment, the key support and resistance levels are 1.35000 and 1.35400, respectively. Positions must be opened from these levels.

Today, important economic reports from the UK are not expected to be published.

GBP/USD

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

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 crossing the %D line. There are no signals at the moment.

Trading recommendations
  • Support levels: 1.35000, 1.34600
  • Resistance levels: 1.35400, 1.35800, 1.36300

If the price fixes below the round level of 1.35000, the GBP/USD quotes are expected to decline. The movement is tending potentially to 1.346001.34400.

Alternative option. If the price fixes above the resistance level of 1.35400, the GBP/USD currency pair is expected to rise to 1.358001.36000.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.28519
  • Open: 1.27647
  • % chg. over the last day:0.64
  • Day’s range: 1.275331.27694
  • 52 wk range: 1.2059 1.3795

During yesterday’s trading session, the USD/CAD quotes fell by almost 100 points against a weak inflation report in the US. Additional support for the Canadian dollar is provided by the positive dynamics of oil quotes. At the moment, the trading instrument is moving in flat. Local support and resistance levels are 1.27500 and 1.27800, respectively. The positions must be opened from these marks.

The news feed on 2018.05.11:
  • A report on the labor market in Canada at 15:30 (GMT+3:00).
USD/CAD

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

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

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

Trading recommendations
  • Support levels: 1.27500, 1.27000
  • Resistance levels: 1.27800, 1.28200, 1.28600

If the price fixes below the support of 1.27500, further decrease of the USD/CAD quotes is expected. The movement is tending potentially to the round level of 1.27000.

Alternative option. If the price fixes above the resistance of 1.27800, it is necessary to consider purchases of USD/CAD. The target movement level is 1.282001.28500.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 109.710
  • Open: 109.390
  • % chg. over the last day:0.27
  • Day’s range: 109.343109.437
  • 52 wk range: 104.56114.74

During yesterday’s trading session, the bearish sentiment prevailed on the USD/JPY currency pair. At the moment, the technical pattern is ambiguous. The trading instrument is in a sideways trend. The key support and resistance levels are: 109.200 and 109.500, respectively. The positions must be opened from these marks. The trading instrument has the potential for further decrease.

The news feed on Japan’s economy is calm.

USD/JPY

Indicators do not send accurate signals. 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 USD/JPY.

Stochastic Oscillator is located in the neutral zone, the %K line is below the %D line, which indicates a decrease in the USD/JPY quotes.

Trading recommendations
  • Support levels: 109.200, 108.900
  • Resistance levels: 109.500, 109.750, 110.000

If the price fixes below the support of 109.200, it is necessary to consider sales of USD/JPY. The movement is tending potentially to 108.900108.600.

Alternative option. If the price fixes above the resistance level of 109.500, the USD/JPY currency pair growth is expected. The movement is tending potentially to 109.750110.000.

by JustMarkets, 2018.05.11

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.