The EUR/USD currency pair

• Prev Open: 1.11704
• Open: 1.11383
• % chg. over the last day: -0.25
• Day’s range: 1.11338 – 1.11532
• 52 wk range: 1.1034 – 1.1817

The EUR/USD currency pair has been declining after a continuous consolidation. Quotes have updated key lows. Demand for the euro weakened after the release of weak data on German GDP. At the moment, the key support and resistance levels are 1.11300 and 1.11650, respectively. Today, investors will assess important economic releases from the US. We also recommend paying attention to the dynamics of the US government bonds yield curve. Financial market participants are concerned about a possible inversion of the yield curve of two- and ten-year government bonds, which signals an oncoming recession. Positions should be opened from the key levels.

• • – Report on retail sales in the US at 15:30 (GMT+3:00);
  • – Philadelphia Fed manufacturing index at 15:30 (GMT+3:00).

Indicators point to the power of sellers: the price has fixed below 50 MA and 100 MA.

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

Stochastic Oscillator is near the overbought zone, the %K line has been crossing the %D line. There are no signals at the moment.

• • • Support levels: 1.11300, 1.11000, 1.10700
    • Resistance levels: 1.11650, 1.11900, 1.12200

If the price fixes below 1.11300, a further drop in the EUR/USD quotes is expected. The movement is tending to 1.11000-1.10800.

An alternative could be the growth of the EUR/USD currency pair to a round level of 1.12000.

The GBP/USD currency pair

• Prev Open: 1.20591
• Open: 1.20548
• % chg. over the last day: -0.01
• Day’s range: 1.20506 – 1.20638
• 52 wk range: 1.2015 – 1.3385

The technical pattern is still ambiguous on the GBP/USD currency pair. The British pound continues to consolidate. The local support and resistance levels are 1.20450 and 1.20750, respectively. Yesterday, positive data on inflation were published in the UK. In the near future, we do not exclude the correction of GBP/USD quotes after a continuous fall. We recommend monitoring the current information on the Brexit issue. Positions should be opened from key levels.

At 11:30 (GMT+3:00), a report on retail sales will be published in the UK.

Indicators do not give accurate signals: 50 MA has been crossing 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 indicates the bullish sentiment.

• Support levels: 1.20450, 1.20150, 1.20000
• Resistance levels: 1.20750, 1.21050, 1.21400

If the price fixes above 1.20750, the GBP/USD quotes are expected to correct. The movement is tending to 1.21000-1.21300.

An alternative could be a decrease in the GBP/USD currency pair to 1.20150-1.20000.

The USD/CAD currency pair

• Prev Open: 1.32228
• Open: 1.33143
• % chg. over the last day: +0.67
• Day’s range: 1.32944 – 1.33222
• 52 wk range: 1.2727 – 1.3664

Yesterday, aggressive purchases were observed on the USD/CAD currency pair. The growth of quotes exceeded 90 points. The loonie reached key extremes. The Canadian dollar is under pressure due to the negative dynamics of oil prices. At the moment, the local support and resistance levels are 1.32850 and 1.33100, respectively. A trading instrument has the potential for further growth. Today we recommend paying attention to economic reports from the US. Positions should be opened from key levels.

The news feed on Canada’s economy is calm.

The price has fixed above 50 MA and 100 MA, which signals 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/CAD.

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

• Support levels: 1.32850, 1.32500, 1.32150
• Resistance levels: 1.33100, 1.33250, 1.33450

If the price fixes above 1.33100, further growth of the USD/CAD currency pair is expected. The movement is tending to 1.33400-1.33600.

An alternative could be a drop in the USD/CAD quotes to 1.32600-1.32400.

The USD/JPY currency pair

• Prev Open: 106.732
• Open: 105.882
• % chg. over the last day: -0.78
• Day’s range: 105.727 – 106.774
• 52 wk range: 104.97 – 114.56

The USD/JPY currency pair has been growing again. At the moment, the trading instrument is testing key extremes. The USD/JPY quotes have the potential for further correction after a continuous fall. The local support and resistance levels are 105.750 and 106.450, respectively. Today we recommend paying attention to statistics from the US. Positions should be opened from key levels.

The news feed on Japan’s economy is quite calm.

Indicators do not give accurate signals: the price has crossed 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: 105.750, 105.100
• Resistance levels: 106.450, 106.900, 107.300

If the price fixes above 106.450, further correction of the USD/JPY currency pair is expected. The movement is tending to 107.000-107.300.

An alternative could be a drop in the USD/JPY quotes to 105.350-105.100.