The Analytical Overview of the Main Currency Pairs on 2018.09.05


The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.16173
  • Open: 1.15796
  • % chg. over the last day:0.32
  • Day’s range: 1.154281.15965
  • 52 wk range: 1.0571 1.2557

The bearish sentiment continues to prevail on the EUR/USD currency pair. Demand for the American currency is still high. Investors expect a report on the labor market in the US, which will be published on September 7. At the moment, the key support and resistance levels are 1.15350 and 1.15700, respectively. The trading instrument has the potential for further reduce.

The news feed on 2018.09.05:
  • A number of indices of economic activity in the Eurozone at 11:00 (GMT+3:00);
  • The US trade balance at 15:30 (GMT+3:00).

We also recommend paying attention to the speeches by the FOMC representatives.

EUR/USD

Indicators point to the power of sellers: the price has fixed below 50 MA and 200 MA.

The MACD histogram has moved to the negative zone, which indicates the bearish sentiment.

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

Trading recommendations
  • Support levels: 1.15350, 1.15000
  • Resistance levels: 1.15700, 1.15900, 1.16100

If the price fixes below the support level of 1.15350, the EUR/USD quotes are expected to fall. The movement is tending to 1.150001.14800.

Alternative option. If the price fixes above 1.15700, we recommend considering purchases of EUR/USD. The movement is tending to 1.160001.16200.

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.28639
  • Open: 1.28549
  • % chg. over the last day:0.11
  • Day’s range: 1.281921.28695
  • 52 wk range: 1.2361 1.4345

Since the beginning of the current week, the bearish sentiment has been prevailing on the GBP/USD currency pair. At the moment, the GBP/USD quotes are consolidating. The key range is 1.281501.28500. The trading instrument has the potential for further reduce. Financial market participants expect new information regarding Brexit. Positions should be opened from the key levels.

At 11:30 (GMT+3:00), the index of economic activity in the UK services sector will be published.

GBP/USD

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

The MACD histogram has started declining, which gives a signal to sell GBP/USD.

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

Trading recommendations
  • Support levels: 1.28150, 1.28000, 1.27600
  • Resistance levels: 1.28500, 1.28700, 1.29000

If the price fixes below 1.28150, the GBP/USD quotes are expected to fall. The movement is tending to 1.277501.27500.

Alternative option. If the price fixes above 1.28500, we recommend considering purchases of GBP/USD. The movement is tending to the round level of 1.29000.

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.30915
  • Open: 1.31762
  • % chg. over the last day: +0.63
  • Day’s range: 1.316371.32052
  • 52 wk range: 1.2059 1.3795

The USD/CAD currency pair continues to show positive dynamics. Since the beginning of this week, the growth of quotes has exceeded 150 points. At the moment, the USD/CAD currency pair is consolidating in the range of 1.316501.32000. Investors took a waitandsee position before the Bank of Canada decision. It is expected that the regulator will keep the key interest rate at the previous level of 1.50%. We recommend paying attention to the comments by representatives of the Central Bank. Positions should be opened from the key levels.

At 17:00 (GMT+3:00), the Bank of Canada will announce its decision on the key interest rate.

USD/CAD

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

The MACD histogram is in the positive zone and continues to rise, which signals to buy USD/CAD.

Stochastic Oscillator reached the overbought zone, the %K line is above the %D line, which gives a weak signal to buy USD/CAD.

Trading recommendations
  • Support levels: 1.31650, 1.31000, 1.30500
  • Resistance levels: 1.32000, 1.32500

If the price fixes above the round level of 1.32000, further growth of the USD/CAD quotes is expected. The movement is tending to 1.325001.32750.

Alternative option. If the price fixes below the local support of 1.31650, correction movement is expected. The target level for profittaking is 1.313001.31000.

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 110.986
  • Open: 111.313
  • % chg. over the last day: +0.35
  • Day’s range: 111.308111.714
  • 52 wk range: 104.56 114.74

Yesterday, the bullish sentiment prevailed on the USD/JPY currency pair. At the moment, quotes are consolidating. The technical pattern is ambiguous. Investors expect additional drivers. Local support and resistance levels are 111.300 and 111.500, respectively. We recommend opening positions from these marks.

Today, the news feed on the economy of Japan is calm.

USD/JPY

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

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

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: 111.300, 111.000, 110.750
  • Resistance levels: 111.500, 111.800, 112.000

If the price fixes above the resistance level of 111.500, the USD/JPY currency pair is expected to grow. The movement is tending to 111.700112.000.

Alternative option. If the price fixes below the level of 111.300, it is necessary to consider sales of USD/JPY. The movement is tending to 111.000110.800.

by JustMarkets, 2018.09.05

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.