The Analytical Overview of the Main Currency Pairs on 2019.10.01

The EUR/USD currency pair

• Prev Open: 1.09406
• Open: 1.08982
• % chg. over the last day: -0.39
• Day's range: 1.08832 - 1.09009
• 52 wk range: 1.0884 - 1.1623

The single currency continues to lose ground against the US dollar. EUR/USD quotes have reached a minimum since May 2017. At the moment, the trading instrument is testing the local support level of 1.08800. Mark 1.09100 is already a mirror resistance. Today, investors will evaluate important statistical data from Germany, the EU and the United States. We do not exclude a further decline in the EUR/USD currency pair. We recommend opening positions from key levels.

The Economic News Feed for 01.10.2019:

• - Business activity index in the manufacturing sector (GER) - 10:55 (GMT+3:00);
• - Business activity index in the manufacturing sector (EU) - 11:00 (GMT+3:00);
• - Inflation report (EU) - 12:00 (GMT+3:00);
• - Business activity index in the manufacturing sector (US) - 17:00 (GMT+3:00).

We also recommend that you pay attention to the statements of the FOMC representatives and the head of the ECB.

Indicators signal the strength of sellers: the price has fixed below 50 MA and 100 MA.

The MACD histogram is in the negative zone and continues to decline, which indicates a bearish sentiment.

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

• Support levels: 1.08800, 1.08500
• Resistance levels: 1.09100, 1.09450, 1.09650

If the price consolidates below 1.08800, consider selling as the price moves toward 1.08500-1.08300.

Alternatively, the quotes can correct toward 1.09400-1.09600.

The GBP/USD currency pair

• Prev Open: 1.08500-1.08300
• Open: 1.22891
• % chg. over the last day: +0.02
• Day's range: 1.22722 - 1.22949
• 52 wk range: 1.1995 - 1.3385

The GBP/USD currency pair is in lateral movement. There are no defined trends. The trading tool tests local support and resistance levels at 1.22750 and 1.23250. Market participants are waiting for new information regarding the Brexit process. GBP can decline further against the US dollar. Positions must be opened from key levels.

At 11:30 (GMT+3:00) UK will publish a business activity index in the manufacturing sector.

Indicators signal the strength of sellers: the price has fixed below 50 MA and 100 MA.

The MACD histogram is in the negative zone, which gives a signal to sell GBP/USD.

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

• Support levels: 1.22750, 1.22400
• Resistance levels: 1.23250, 1.23750, 1.24150

If the price consolidates below 1.22750, expect a further descend toward 1.22400-1.22200.

Alternatively, the quotes could grow toward 1.23600-1.23800.

The USD/CAD currency pair

• Prev Open: 1.32362
• Open: 1.32424
• % chg. over the last day: +0.05
• Day's range: 1.32339 - 1.32568
• 52 wk range: 1.2727 - 1.3664

The USD/CAD currency pair continues to trade in a protracted flat. The technical picture is ambiguous. Currently, the local support and resistance levels are: 1.32300 and 1.32600, respectively. Today, investors will evaluate important economic releases from Canada and the United States, which can have a significant impact on Looney. We also recommend paying attention to the dynamics of oil quotes. Positions must be opened from key levels.

At 15:30 (GMT+3:00) we expect statistics on Canada's GDP.

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

The MACD histogram has started to rise, indicating the development of bullish sentiment.

The Stochastic Oscillator is in the overbought zone, the %K line is above the %D line, which gives a weak signal to buy USD / CAD.

• Support levels: 1.32300, 1.32100, 1.31800
• Resistance levels: 1.32600, 1.32800, 1.33000

If the price consolidates below 1.32300, USD/CAD quotes are expected to fall to 1.32000-1.31800.

Alternatively, the quotes could grow toward 1.32800-1.33000.

The USD/JPY currency pair

• Prev Open: 107.965
• Open: 108.080
• % chg. over the last day: +0.11
• Day's range: 108.045 - 108.296
• 52 wk range: 104.97 - 114.56

Purchases prevail on the USD/JPY currency pair. The trading tool has reached key extremes. At the moment, USD/JPY quotes are testing the offer zone 108.300-108.450. A round level of 108,000 is the immediate support. Investors are expecting important economic reports from the United States. We recommend that you keep track of up-to-date information regarding trade negotiations between Washington and Beijing. Positions must be opened from key levels.

During the Asian trading session, Tankan published optimistic statistics on the Japanese economy.

Indicators signal the strength of buyers: the price has fixed above 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 USD/JPY.

The Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which indicates a bearish sentiment.

• Support levels: 108.000, 107.750, 107.500
• Resistance levels: 108.300, 108.450, 108.800

If the price consolidates above 108.300, expect further growth of the USD/JPY currency pair to 108.600-108.800.

Alternatively, the quotes could drop toward 107.800-107.600.

by JustMarkets, 2019.10.01

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.