The Analytical Overview of the Main Currency Pairs on 2020.09.25

The EUR/USD currency pair

• Prev Open: 1.16601
• Open: 1.16696
• % chg. over the last day: +0.11
• Day's range: 1.16626 – 1.16850
• 52 wk range: 1.0637 – 1.2012

The EUR/USD currency pair has become stable after a significant drop. Investors have started partially fixing positions on the greenback. At the moment, the trading instrument is consolidating. The key range is 1.1630-1.1685. Financial market participants are still concerned about the active increase in the incidence of COVID-19 in many countries around the world. The US Congress has resumed talks on a new stimulus package. Today we expect important economic reports from the US. Positions should be opened from key levels.

• – Durable goods orders in the US at 15:30 (GMT+3:00).

We also recommend paying attention to the speeches by the FOMC representatives.

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

The MACD histogram is near the 0 mark. There are no signals at the moment.

Stochastic Oscillator is in the neutral zone, the %K line is above the %D line, which gives a signal to buy EUR/USD.

• Support levels: 1.1630, 1.1600
• Resistance levels: 1.1685, 1.1715, 1.1750

If the price fixes above 1.1685, EUR/USD quotes are expected to correct. The movement is tending to 1.1725-1.1750.

An alternative could be the decline of the EUR/USD currency pair to the round level of 1.1600.

The GBP/USD currency pair

• Prev Open: 1.27141
• Open: 1.27411
• % chg. over the last day: +0.21
• Day's range: 1.27316 – 1.28052
• 52 wk range: 1.1409 – 1.3516

The GBP/USD currency pair has been growing. The British pound has updated local highs. At the moment, GBP/USD quotes are testing the round level of 1.2800. The level of 1.2745 is the nearest support. The trading instrument has the potential for further correction. Trading activity and volatility are still high. We recommend paying attention to the news feed from the US. Positions should be opened from key levels.

The publication of important UK economic reports is not planned.

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

The MACD histogram has started growing, which indicates the development of bullish sentiment.

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

• Support levels: 1.2745, 1.2680, 1.2600
• Resistance levels: 1.2800, 1.2865, 1.2915

If the price fixes above the round level of 1.2800, further growth of the GBP/USD currency pair is expected. The movement is tending to 1.2850-1.2880.

An alternative could be a drop in GBP/USD quotes to 1.2700-1.2660.

The USD/CAD currency pair

• Prev Open: 1.33801
• Open: 1.33557
• % chg. over the last day: -0.17
• Day's range: 1.33327 – 1.33671
• 52 wk range: 1.2949 – 1.4669

USD/CAD quotes have been declining after a prolonged rally. The trading instrument has updated local lows. At the moment, the loonie is consolidating in the range of 1.3325-1.3370. The technical pattern signals a further correction of the USD/CAD currency pair. Today, we recommend paying attention to economic releases from the US, as well as the dynamics of "black gold" prices. Positions should be opened from key levels.

The news feed on Canada's economy is calm.

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

The MACD histogram has started declining, which indicates a further correction of the USD/CAD currency pair.

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

• Support levels: 1.3325, 1.3290, 1.3255
• Resistance levels: 1.3370, 1.3415

If the price fixes below 1.3325, further correction of USD/CAD quotes is expected. The movement is tending to 1.3290-1.3260.

An alternative could be the growth of the USD/CAD currency pair to 1.3410-1.3430.

The USD/JPY currency pair is in a sideways trend. There is no defined trend. Financial market participants expect additional drivers. The trading instrument is testing local support and resistance levels: 105.20 and 105.55, respectively. We 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.

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

The MACD histogram is near the 0 mark. There are no signals at the moment.

Stochastic Oscillator has started exiting the oversold zone, the %K line is above the %D line, which indicates the bullish sentiment.

• Support levels: 105.20, 104.85, 104.45
• Resistance levels: 105.55, 105.80, 106.20

If the price fixes above 105.55, further growth in USD/JPY quotes is expected. The movement is tending to the round level of 106.00.

An alternative could be a decline in the USD/JPY currency pair to 104.90-104.70.

by JustMarkets, 2020.09.25

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.