The Analytical Overview of the Main Currency Pairs on 2018.03.07


The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.23350
  • Open: 1.24045
  • % chg. over the last day: +0.65
  • Day’s range: 1.240421.24240
  • 52 wk range: 1.0492 1.2537

Yesterday, the EUR/USD currency pair strengthened by almost 70 points. The US dollar remains under pressure due to the possible introduction of duties on imports of steel and aluminum in the US. At the moment, the trading instrument is in a flat. The key support and resistance levels are: 1.24000 and 1.24300, respectively. The positions must be opened from these marks.

The news feed on 2018.03.07:

The GDP data in the Eurozone at 12:00 (GMT+2:00);Preliminary statistics on the labor market in the US from ADP at 15:15 (GMT+2:00);”Beige Book” of the Fed at 21:00 (GMT+2:00).

EUR/USD

The signals of the indicators are different. The price has fixed above 50 MA and 200 MA, which indicates a bullish sentiment.

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 is below the %D line, which signals to sell EUR/USD.

Trading recommendations
  • Support levels: 1.24000, 1.23500, 1.23000
  • Resistance levels: 1.24300, 1.24700, 1.25000

If the price fixes below the round level of 1.24000, the correction of the EUR/USD quotes is expected. The movement is tending potentially to 1.235001.23300.

Alternative option. If the price fixes above 1.24300, it is necessary to look for entry points to the market to open long positions. The movement is tending potentially to 1.247001.25000.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.38475
  • Open: 1.38869
  • % chg. over the last day: +0.36
  • Day’s range: 1.386881.38769
  • 52 wk range: 1.2106 1.4345

During yesterday’s trading, purchases prevailed on the GBP/USD currency pair. The pound was supported against the US dollar weakening. At the moment, the technical pattern is ambiguous. Investors expect additional drivers. The trading instrument is consolidating in the range of 1.386001.39000. Positions need to be opened from the key support and resistance levels.

At 14:30 (GMT+2:00) a report on the annual budget in the UK will be published.

GBP/USD

The price is testing 200 MA, which is a strong dynamic support.

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

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: 1.38600, 1.38000, 1.37500
  • Resistance levels: 1.39000, 1.39500, 1.40000

If the price fixes below 1.38600, it is necessary to look for entry points to the market to open short positions. The movement is tending potentially to 1.380001.37700.

Alternative option. If the price fixes above the round level of 1.39000, the GBP/USD currency pair is expected to grow. The movement is tending potentially to 1.395001.39700.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.29648
  • Open: 1.28756
  • % chg. over the last day:0.12
  • Day’s range: 1.291981.29362
  • 52 wk range: 1.2059 1.3795

Yesterday, bearish sentiment was observed on the USD/CAD currency pair. Investors took a waitandsee attitude before the Bank of Canada meeting on monetary policy, which will be held today at 17:00 (GMT+2). It is expected that the regulator will leave interest rates unchanged. The key support and resistance levels are: 1.29100 and 1.29500, respectively. We recommend you to open positions above/below these marks.

The news feed on 2018.03.07:

Trade balance in Canada at 15:30 (GMT+2:00);Bank of Canada meeting on monetary policy at 17:00 (GMT+2:00);

USD/CAD

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

The MACD histogram does not send accurate signals. The indicator is located near the 0 mark.

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

Trading recommendations
  • Support levels: 1.29100, 1.28600, 1.28100
  • Resistance levels: 1.29500, 1.30000, 1.30500

If the price fixes below 1.29100, the USD/CAD currency pair is expected to decline. The movement is tending potentially to 1.286001.28400.

An alternative may be the growth of the USD/CAD quotes to the level of 1.300001.30200.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 106.181
  • Open: 106.124
  • % chg. over the last day:0.58
  • Day’s range: 105.635105.805
  • 52 wk range: 107.33 115.51

Yesterday, there was a variety of trends on the USD/JPY currency pair. By the end of the trading session, quotes decreased by almost 70 points. At the moment, the technical pattern is ambiguous. Investors are closely following the news about the introduction of duties on imports of steel and aluminum. The key support and resistance levels are: 105.550 and 105.800, respectively. We recommend you to open positions from these levels.

The news feed on Japan’s economy is calm.

USD/JPY

The price has fixed below 50 MA and 200 MA, which indicates a bearish sentiment.

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

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: 105.550, 105.300, 105.000
  • Resistance levels: 105.800, 106.200, 106.600

If the price fixes below the support level of 105.550, the USD/JPY quotes are expected to decline. The movement is tending potentially to the round level of 105.000.

Alternative option. If the price fixes above the 105.800 mark, it is necessary to consider purchases of USD/JPY. The target movement level is 106.200106.600.

by JustMarkets, 2018.03.07

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.