The Analytical Overview of the Main Currency Pairs on 2018.02.09


The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.22602
  • Open: 1.22451
  • % chg. over the last day:0.07
  • Day’s range: 1.224011.22872
  • 52 wk range: 1.0492 1.2537

At the moment, the EUR/USD currency pair is in a sideways trend. The technical pattern is ambiguous. The trading instrument is testing local support and resistance levels: 1.22450 and 1.22900, respectively. Financial markets participants expect additional drivers. The EUR/USD quotes have the potential for further correction. We recommend opening positions from the key levels.

The news feed on the US economy and the Eurozone is calm.

EUR/USD

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

The MACD histogram is located near the 0 mark.

Stochastic Oscillator has reached the overbought zone, the %K line began to cross the %D line. There are no signals at the moment.

Trading recommendations
  • Support levels: 1.22450, 1.22000
  • Resistance levels: 1.22900, 1.23400, 1.24000

If the currency pair fixes below the local support of 1.22450, we recommend considering sales of EUR/USD. The movement is tending potentially to 1.221501.22000.

Alternative option. If the EUR/USD quotes fixes above 1.22900, we recommend looking for entry points to the market to open long positions. The movement is tending potentially to 1.234001.23500.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.38719
  • Open: 1.39109
  • % chg. over the last day: +0.41
  • Day’s range: 1.391061.39872
  • 52 wk range: 1.2106 1.4345

The Bank of England, as expected, kept the key interest rate at the previous level of 0.50%. The regulator published optimistic economic forecasts. In the near future, the Central Bank may consider raising of interest rates. At the same time, officials of the Bank of England are concerned about high inflation in the country. At the moment, the technical pattern on the GBP/USD currency pair is ambiguous. The key trading range is 1.393501.40000. The positions must be opened from these marks.

At 11:30 (GMT+2) there will be data on the volume of manufacturing production in the UK.

GBP/USD

Indicators do not send accurate signals. The price has fixed between 50 MA and 200 MA.

The MACD histogram is in the positive zone and above the signal line, indicating a bullish sentiment on the GBP/USD currency pair.

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

Trading recommendations
  • Support levels: 1.39350, 1.38500
  • Resistance levels: 1.40000, 1.40600, 1.41000

If the price fixes below the local support of 1.39350, we recommend considering sales of GBP/USD. The movement is tending potentially to 1.388001.38500.

Alternative option. If the price fixes above the round level of 1.40000, it is necessary to look for entry points to the market to open long positions. The target movement level is 1.405001.40750.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.25595
  • Open: 1.25989
  • % chg. over the last day: +0.18
  • Day’s range: 1.258491.26126
  • 52 wk range: 1.2059 1.3795

Since the beginning of this month, a bullish sentiment has been prevailing on the USD/CAD currency pair. At the moment, the technical pattern is ambiguous. The trading instrument is consolidating in the range of 1.257001.26100. Investors took a waitandsee position before the publication of the report on the labor market in Canada at 15:30 (GMT+2:00). We also recommend paying attention to the dynamics of oil quotes. Positions must be opened from the key levels.

The news feed on the US economy is calm.

USD/CAD

Indicators indicate the power of buyers. The price has fixed above 50 MA and 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 is located near the oversold zone, the %K line is above the %D line, which gives a strong signal to buy USD/CAD.

Trading recommendations
  • Support levels: 1.25700, 1.25000
  • Resistance levels: 1.26100, 1.26500

If the report on the labor market in Canada turns out to be weak, we expect a further growth of the USD/CAD currency pair. The movement is tending potentially to 1.265001.26750.

An alternative may be a correction to the demand zone of 1.249001.25200.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 109.355
  • Open: 108.739
  • % chg. over the last day:0.55
  • Day’s range: 108.707109.311
  • 52 wk range: 107.33 115.51

Today, during the Asian session, bullish sentiment prevailed on the currency pair USD/JPY. The US dollar recovered most of the losses. At the moment, the technical pattern is ambiguous. The key support and resistance levels are 109.000 and 109.350. We recommend you to open positions from these marks. The further growth of the USD/JPY quotes is not excluded.

The news feed on Japan’s economy is calm.

USD/JPY

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

The MACD histogram began to rise and fixed above the signal line, which indicates the growth of the USD/JPY currency pair.

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: 109.000, 108.550
  • Resistance levels: 109.350, 109.750, 110.250

If the price fixes above the resistance of 109.350, it is necessary to consider purchases of USD/JPY. The movement is tending potentially to 109.750110.000.

Alternative option. If the price fixes below the round level of 109.000, the USD/JPY quotes are expected to fall. The movement is tending potentially to 108.600108.300.

by JustMarkets, 2018.02.09

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.