The Analytical Overview of the Main Currency Pairs on 2020.09.30

The EUR/USD currency pair

• Prev Open: 1.16699
• Open: 1.17424
• % chg. over the last day: +0.67
• Day’s range: 1.17204 – 1.17549
• 52 wk range: 1.0637 – 1.2012

The EUR/USD currency pair has been growing. During yesterday’s trading session, the growth of quotes exceeded 75 points. The trading instrument has set new local highs. At the moment, the single currency is consolidating in the range of 1.1715-1.1750. Financial market participants assess the previous debate between Donald Trump and his challenger Joe Biden. Today, we expect a number of important economic releases. The current technical pattern signals a further recovery in EUR/USD quotes. Positions should be opened from key levels.

• – Data on the labor market in Germany at 10:55 (GMT+3:00);
• – Consumer price index in the Eurozone at 12:00 (GMT+3:00);
• – ADP nonfarm employment change at 15:15 (GMT+3:00);
• – Statistics on US GDP at 15:30 (GMT+3:00);
• – Pending home sales at 17:00 (GMT+3:00).

Indicators signal the power of buyers: the price has fixed above 50 MA and 100 MA.

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 near the oversold zone, the %K line has crossed the %D line. There are no signals at the moment.

• Support levels: 1.1715, 1.1685, 1.1640
• Resistance levels: 1.1750, 1.1775, 1.1800

If the price fixes above 1.1750, further growth of EUR/USD quotes is expected. The movement is tending to the round level of 1.1800.

An alternative could be a decrease in the EUR/USD currency pair to 1.1685-1.1660.

The GBP/USD currency pair

• Prev Open: 1.28319
• Open: 1.28557
• % chg. over the last day: +0.27
• Day’s range: 1.28051 – 1.28729
• 52 wk range: 1.1409 – 1.3516

There is an ambiguous technical pattern on the GBP/USD currency pair. The British pound is in a sideways trend. At the moment, the following local support and resistance levels can be distinguished: 1.2805 and 1.2870, respectively. Investors expect additional drivers. Today, we recommend paying attention to economic reports from the US. Positions should be opened from key levels.

Office for National Statistics reported that the country’s GDP fell by 19.8% QoQ in the second quarter. Market expectations were at -20.4% QoQ.

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

The MACD histogram is near the 0 mark.

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

• Support levels: 1.2805, 1.2780, 1.2730
• Resistance levels: 1.2870, 1.2900, 1.2930

If the price fixes above 1.2870, further growth of the GBP/USD currency pair is expected. The movement is tending to 1.2930-1.2970.

An alternative could be a drop in GBP/USD quotes to 1.2770-1.2750.

The USD/CAD currency pair

• Prev Open: 1.33682
• Open: 1.33859
• % chg. over the last day: +0.11
• Day’s range: 1.33727 – 1.34205
• 52 wk range: 1.2949 – 1.4669

The loonie is still being traded in flat. There is no defined trend. At the moment, the local support and resistance levels are 1.3375 and 1.3420, respectively. Financial market participants expect additional drivers. The bearish sentiment in the black gold market put additional pressure on the Canadian dollar. We expect important economic releases from Canada and the US. Positions should be opened from key levels.

At 15:30 (GMT+3:00), Canada’s GDP statistics will be published.

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

The MACD histogram is in the positive zone, which indicates the bullish sentiment.

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

• Support levels: 1.3375, 1.3355, 1.3330
• Resistance levels: 1.3420, 1.3470, 1.3500

If the price fixes above 1.3420, further growth in USD/CAD quotes is expected. The movement is tending to 1.3460-1.3480.

An alternative could be a decrease in the USD/CAD currency pair to 1.3350-1.3320.

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 105.45 and 105.80, respectively. Investors expect additional drivers. Today, we recommend paying attention to economic releases, as well as to the dynamics of US government bonds yield. Positions should be opened from key levels.

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 is above the %D line, which gives a signal to buy USD/JPY.

• Support levels: 105.45, 105.20, 104.85
• Resistance levels: 105.80, 106.00

If the price fixes above the level of 105.80, further growth of USD/JPY quotes is expected. The movement is tending to 106.10-106.40.

An alternative could be a decline in the USD/JPY currency pair to 105.20-104.80.