The Analytical Overview of the Main Currency Pairs on 2020.01.21

The EUR/USD currency pair

• Prev Open: 1.10905
• Open: 1.10939
• % chg. over the last day: +0.01
• Day's range: 1.10889 - 1.10994
• 52 wk range: 1.0879 - 1.1572

The EUR/USD currency pair stabilized after a sharp decline at the end of last week. At the moment, the trading instrument is in lateral movement. Unidirectional trends are not observed. EUR / USD quotes test local support and resistance levels: 1.10800 and 1.11000, respectively. Participants in financial markets expect additional drivers. The demand for greenback is still at a fairly high level. We recommend opening positions from key levels.

At 12:00 (GMT+2: 00), Germany will publish the ZEW economic sentiment indices.

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

The MACD histogram is near the 0 mark.

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

• Support levels: 1.10800, 1.10500
• Resistance levels: 1.11000, 1.11200, 1.11450

If the price consolidates below 1.10800, expect a further descend toward 1.10500-1.10300.

Alternatively, the quotes could recover toward 1.11200-1.11400.

The GBP/USD currency pair

• Prev Open: 1.29928
• Open: 1.30076
• % chg. over the last day: +0.02
• Day's range: 1.29956 - 1.30216
• 52 wk range: 1.1959 - 1.3516

GBP/USD quotes retreated from local lows. The pound is currently consolidating. The local support and resistance levels are 1.29900 and 1.30200, respectively. The current technical picture signals a further correction of the GBP/USD currency pair. Investors expect important statistics on the UK economy. Open positions be opened from key levels.

At 11:30 (GMT+2:00) a report on the UK labor market will be published.

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

The MACD histogram is near the 0 mark.

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

• Support levels: 1.29900, 1.29600
• Resistance levels: 1.30200, 1.30550, 1.31000

If the price consolidates above 1.30200, expect the quotes to rise toward 1.30500-1.30800.

Alternatively, the quotes could descend toward 1.29600-1.29400.

The USD/CAD currency pair

• Prev Open: 1.30579
• Open: 1.30474
• % chg. over the last day: -0.15
• Day's range: 1.30446 - 1.30658
• 52 wk range: 1.2949 - 1.3566

CAD is still trading in a protracted flat. Unidirectional trends are not observed. At the moment, the following key support and resistance levels can be identified: 1.30450 and 1.30750, respectively. USD/CAD quotes have a potential for recovery. We recommend you to pay attention to the dynamics of prices of black gold. Open positions from key levels.

At 15:30 (GMT + 2: 00), a report on sales in Canada’s manufacturing sector will be published.

Indicatorsdo not give accurate signals: the price crossed 50 MA and 100 MA.

The MACD histogram is near the 0 mark.

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

• Support levels: 1.30450, 1.30300, 1.30200
• Resistance levels: 1.30750, 1.31000

If the price consolidates above 1.30750, expect the quotes to rise toward 1.31000-1.31300.

Alternatively, the quotes could descend toward 1.30200-1.30000.

The USD/JPY currency pair

• Prev Open: 110.077
• Open: 110.176
• % chg. over the last day: +0.04
• Day's range: 109.887 – 110.221
• 52 wk range: 104.45 – 113.53

The USD/JPY currency pair went down. A trading instrument has the potential for further correction after a protracted rally. At the moment, the key range is 109.850-110.300. The Bank of Japan, as expected, kept the basic parameters of monetary policy unchanged. The regulator published optimistic forecasts for the country's GDP. We recommend that you pay attention to the dynamics of yield on US government bonds. Open positions from key levels.

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

The MACD histogram is in the negative zone, which indicates a bearish mood.

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

• Support levels: 109.850, 109.650, 109.350
• Resistance levels: 110.300, 110.600

If the price consolidates below 109.850, expect a correction toward 109.500-109.200.

Alternatively, the quotes could grow toward 110.500-110.700.

by JMarkets, 2020.01.21

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.