The Analytical Overview of the Main Currency Pairs on 2020.10.20

The EUR/USD currency pair

• Prev Open: 1.17170
• Open: 1.17652
• % chg. over the last day: +0.43
• Day's range: 1.17599 – 1.17805
• 52 wk range: 1.0637 – 1.2012

The bullish sentiment prevails on the EUR/USD currency pair. During yesterday's trading session, the growth of quotes exceeded 50 points. The trading instrument has updated local highs. Greenback demand has weakened as the deadline for agreeing on a new stimulus package is getting closer and the deal is still pending. At the moment, the local support and resistance levels are 1.1760 and 1.1790, respectively. Further growth of EUR/USD quotes is possible. Positions should be opened from key levels.

At 15:30 (GMT+3:00), statistics on the US real estate market will be published.

Indicators signal the power of buyers: the price has fixed above 50 MA and 100 MA.

The MACD histogram is in the positive zone, but below the signal line, which gives a weak signal to buy EUR/USD.

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

• Support levels: 1.1760, 1.1740, 1.1725
• Resistance levels: 1.1790, 1.1815, 1.1830

If the price fixes above 1.1790, further growth of EUR/USD quotes is expected. The movement is tending to 1.1815-1.1830.

An alternative could be a decline in the EUR/USD currency pair to 1.1730-1.1710.

The GBP/USD currency pair

• Prev Open: 1.28935
• Open: 1.29375
• % chg. over the last day: +0.16
• Day's range: 1.29192 – 1.29580
• 52 wk range: 1.1409 – 1.3516

The GBP/USD currency pair is still in a sideways trend. The technical pattern is ambiguous. At the moment, the British pound is testing local support and resistance levels: 1.2920 and 1.2960, respectively. Financial market participants expect up-to-date information on the Brexit issue. Today, we recommend paying attention to the news feed on the US economy. Positions should be opened from key levels.

The publication of important UK economic releases is not planned.

Indicators do not give accurate signals: the price has crossed the 50 MA and 100 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 has crossed the %D line. There are no signals at the moment.

• Support levels: 1.2920, 1.2875, 1.2850
• Resistance levels: 1.2960, 1.3005, 1.3045

If the price fixes above 1.2960, the GBP/USD currency pair is expected to grow. The movement is tending to 1.3000-1.3020.

An alternative could be a drop in GBP/USD quotes to 1.2880-1.2850.

The USD/CAD currency pair

• Prev Open: 1.31880
• Open: 1.31920
• % chg. over the last day: +0.08
• Day's range: 1.31773 – 1.32037
• 52 wk range: 1.2949 – 1.4669

There is an ambiguous technical pattern on the USD/CAD currency pair. The loonie is consolidating. At the moment, the local support and resistance levels are 1.3170 and 1.3205, respectively. The trading instrument has the potential for further growth. We recommend paying attention to 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 crossed the 50 MA and 100 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 has crossed the %D line. There are no signals at the moment.

• Support levels: 1.3170, 1.3150, 1.3125
• Resistance levels: 1.3205, 1.3240, 1.3260

If the price fixes above 1.3205, further growth in USD/CAD quotes is expected. The movement is tending to 1.3240-1.3260.

An alternative could be a decrease in the USD/CAD currency pair to 1.3125-1.3100.

The USD/JPY currency pair continues to consolidate. There is no defined trend. At the moment, the local support and resistance levels are 105.45 and 105.65, respectively. The trading instrument has the potential for recovery. We recommend paying attention to the dynamics of US government bonds yield. Positions should be opened from key levels.

The news feed for Japan's economy is calm.

Indicators signal the power of buyers: the price has fixed above 50 MA and 100 MA.

The MACD histogram is in the positive zone, which indicates 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.

• Support levels: 105.45, 105.20, 105.05
• Resistance levels: 105.65, 105.80, 105.95

If the price fixes above 105.65, further growth in USD/JPY quotes is expected. The movement is tending to 105.90-106.10.

An alternative could be a decline in the USD/JPY currency pair to 105.20-105.00.

by JustMarkets, 2020.10.20

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.