by JustForex
The greenback has weakened significantly against its main competitors. During yesterday’s and today’s trading sessions, the growth of EUR/USD quotes has exceeded 120 points. Demand for risky assets has grown significantly after Moderna, a US pharmaceutical company, announced preliminary positive test results for a potential vaccine against the COVID-19 virus. At the moment, the trading instrument is consolidating in the range of 1.0900-1.0945. The technical pattern signals a further increase in EUR/USD quotes. We expect important economic releases. We recommend opening positions from key levels.
We also recommend paying attention to the speech by the Fed Chairman.
Indicators signal the power of buyers: the price has fixed above 50 MA and 100 MA.
The MACD histogram is in the positive zone, indicating the bullish sentiment.
Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which also gives a signal to buy EUR/USD.
If the price fixes above 1.0945, further growth of the EUR/USD currency pair is expected. The movement is tending to 1.0970-1.1000.
An alternative could be a drop in EUR/USD quotes to 1.0875-1.0860.
GBP/USD quotes have been growing. Demand for risky assets has resumed. The British pound has updated local highs. The trading instrument found resistance at 1.2265. The 1.2190 mark is already a “mirror” support. The GBP/USD currency pair has the potential for further recovery. We recommend opening positions from key levels.
The UK has published weak labor market data.
Indicators do not give accurate signals: the price has fixed between 50 MA and 100 MA.
The MACD histogram is in the positive zone and above the signal line, which gives a strong signal to buy GBP/USD.
Stochastic Oscillator is in the neutral zone, the %K line has started crossing the %D line. There are no signals at the moment.
If the price fixes above 1.2265, further growth of GBP/USD quotes is expected. The movement is tending to 1.2320-1.2340.
An alternative could be a decrease in the GBP/USD currency pair to 1.2150-1.2120.
There are aggressive sales on the USD/CAD currency pair. During yesterday’s and today’s trading sessions, the drop in quotes has exceeded 190 points. The greenback demand has weakened. The loonie is supported by the positive dynamics of “black gold” prices. At the moment, USD/CAD quotes are consolidating in the range of 1.3905-1.3970. The Canadian dollar has the potential for further growth against the US dollar. Positions should be opened from key levels.
The publication of important economic releases from Canada is not planned.
Indicators signal the power of sellers: the price has fixed below 50 MA and 100 MA.
The MACD histogram is in the negative zone, indicating the bearish sentiment.
Stochastic Oscillator is in the neutral zone, the %K line has crossed the %D line. There are no signals at the moment.
If the price fixes below the support level of 1.3905, a further drop in USD/CAD quotes is expected. The movement is tending to 1.3860-1.3840.
An alternative could be the growth of the USD/CAD currency pair to 1.4000-1.4030.
The technical pattern is still ambiguous on the USD/JPY currency pair. A trading instrument is consolidating. There is no defined trend. At the moment, the local support and resistance levels are: 107.30 and 107.60, respectively. We expect economic reports from the US. 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 enough.
Indicators signal the power of buyers: the price has fixed above 50 MA and 100 MA.
The MACD histogram is in the positive zone, indicating the bullish sentiment.
Stochastic Oscillator is in the neutral zone, the %K line has crossed the %D line. There are no signals at the moment.
If the price fixes above the resistance level of 107.75, USD/JPY quotes are expected to rise. The movement is tending to 108.00-108.25.
An alternative could be a decrease in the USD/JPY currency pair to 107.00-106.80.
by JustForex
