The Analytical Overview of the Main Currency Pairs on 2020.09.04

The EUR/USD currency pair

• Prev Open: 1.18507
• Open: 1.18483
• % chg. over the last day: -0.01
• Day’s range: 1.18335 – 1.18579
• 52 wk range: 1.0637 – 1.2012

The US dollar has become stable against a basket of world currencies. Financial market participants have taken a wait-and-see attitude before the publication of the US labor market report for August, which may have a significant impact on the dynamics and further alignment of forces on the currency majors. Experts expect deterioration in key indicators. We recommend paying attention to the difference between the actual and forecasted values. At the moment, EUR/USD quotes are consolidating in the range of 1.1820-1.1860. Positions should be opened from these marks.

• – Statistics on the US labor market at 15:30 (GMT+3:00).

Indicators do not give accurate signals: the price has crossed the 50 MA.

The MACD histogram is near the 0 mark.

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

• Support levels: 1.1820, 1.1785, 1.1755
• Resistance levels: 1.1860, 1.1890, 1.1925

If the price fixes below 1.1820, further correction of EUR/USD quotes is expected. The movement is tending to 1.1780-1.1750.

An alternative could be the growth of the EUR/USD currency pair to 1.1900-1.1930.

The GBP/USD currency pair

• Prev Open: 1.33425
• Open: 1.32640
• % chg. over the last day: -0.54
• Day’s range: 1.32552 – 1.32980
• 52 wk range: 1.1409 – 1.3516

There are sales on the GBP/USD currency pair. The British pound has updated local lows. At the moment, the trading instrument is consolidating. GBP/USD quotes are testing local support and resistance levels: 1.3245 and 1.3315, respectively. The currency pair has the potential for further correction. We expect a report on the US labor market. Positions should be opened from key levels.

At 11:30 (GMT+3:00), the UK construction PMI will be published.

Indicators do not give accurate signals: the price is testing 50 MA.

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

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

• Support levels: 1.3245, 1.3170, 1.3135
• Resistance levels: 1.3315, 1.3355, 1.3400

If the price fixes below 1.3245, further correction of GBP/USD quotes is expected. The movement is tending to 1.3200-1.3150.

An alternative could be the growth of the GBP/USD currency pair to 1.3370-1.3400.

The USD/CAD currency pair

• Prev Open: 1.30418
• Open: 1.31226
• % chg. over the last day: +0.64
• Day’s range: 1.30918 – 1.31406
• 52 wk range: 1.2949 – 1.4669

USD/CAD quotes have been growing. The trading instrument has updated local highs. At the moment, the loonie is testing key support and resistance levels: 1.3085 and 1.3140, respectively. Investors expect reports on the labor markets in the US and Canada. We also recommend paying attention to the dynamics of “black gold” prices. Positions should be opened from key levels.

• – Data on the labor market at 15:30 (GMT+3:00);
• – Ivey PMI at 17:00 (GMT+3:00).

Indicators do not give accurate signals: the price is testing 50 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 in the neutral zone, the %K line is below the %D line, which indicates the bearish sentiment.

• Support levels: 1.3085, 1.3040, 1.2995
• Resistance levels: 1.3140, 1.3170, 1.3200

If the price fixes above 1.3140, further growth in USD/CAD quotes is expected. The movement is tending to the round level of 1.3200.

An alternative could be a decline in the USD/CAD currency pair to 1.3040-1.3020.

The technical pattern on the USD/JPY currency pair is still ambiguous. The trading instrument continues to consolidate. At the moment, the local support and resistance levels are 106.00 and 106.30, respectively. The US labor market report for August is in the focus of attention. We also recommend paying attention to the dynamics of US government bonds yield. Positions should be opened from key levels.

The news feed on Japan’s economy is calm.

Indicators do not give accurate signals: the price has crossed the 50 MA and 100 MA.

The MACD histogram is near the 0 mark.

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

• Support levels: 106.00, 105.80, 105.60
• Resistance levels: 106.30, 106.55, 106.90

If the price fixes above 106.30, USD/JPY quotes are expected to grow. The movement is tending to 106.60-106.90.

An alternative could be a decline in the USD/JPY currency pair to 105.60-105.40.