June 12, 2021
  • June 12, 2021

The analytical overview of the main currency pairs

By on June 2, 2021 0

The EUR / USD currency pair

Technical indicators of the currency pair:

Previous opening: 1.2223
Previous Close: 1.2213
% mod. on the last day: -0.09%

The EUR / USD currency pair failed to break through the resistance level of 1.2243, and the price corrected slightly, mainly due to the strengthening of the dollar index. Short-term support for the US currency was provided by the US Treasury Department, which held several Treasury bond auctions yesterday. Such actions usually lead to the withdrawal of liquidity from the financial system, which is good for the dollar index.

Trading recommendations

Support levels: 1.2205, 1.2168, 1.2138, 1.2115, 1.2074, 1.2026, 1.2002, 1.1957
Resistance levels: 1.2243, 1.2311

The trend remains bullish. The price is trading above the moving average. The divergence on the MACD indicator has already been executed. In such market conditions, it is best to seek out buy transactions from support levels, relying on continued price growth.

Alternative scenario: If price breaks through the support level of 1.2168 and corrects below, the general uptrend is likely to be broken.

The GBP / USD currency pair

Technical indicators of the currency pair:

Previous opening: 1.4205
Previous Close: 1.4147
% mod. on the last day: -0.41%

Yesterday, the British pound unexpectedly fell on the impulse move and came back into the wide corridor, forming a false breakout zone above. The price also crossed the local uptrend line. The main reason for the decline is the strengthening of the dollar index. In addition, BoE Governor Andrew Bailey said yesterday that the economic recovery in Foggy Albion could cause inflation to rise substantially and lead to monetary policy tightening the following year.

Trading recommendations

Support levels: 1.4110, 1.4075, 1.3996, 1.3913, 1.3835, 1.3801, 1.3756, 1.3690
Resistance levels: 1.4207, 1.4338

For the GBP / USD currency pair, the trend remains bullish. The price is trading near the moving average and the MACD indicator is in the negative area. In such market conditions, it is best for traders to look for buy trades from the closest support levels. With high probability, the price will drop to the lower end of the wide range of 1.4110-1.4207.

Alternative scenario: If the price breaks through the support level of 1.4075 and consolidates below, the bullish scenario is likely to be canceled.

The USD / JPY currency pair

Technical indicators of the currency pair:

Previous opening: 109.55
Previous Close: 109.48
% mod. on the last day: -0.06%

On Tuesday, the USD / JPY currency pair formed a narrow flat. It is easy to notice that buyers are pushing the price higher, relying on a breakout. If the price settles above the resistance level of 109.64, the local bullish momentum will pick up.

Trading recommendations

Assistance levels: 109.28, 109.00, 108.66, 108.44, 108.19, 107.77, 107.47
Resistance levels: 109.64, 109.95, 110.51

At the moment, the medium-term trend is bullish. The price is above the moving average and the priority change level of 109.00. In such market conditions, it is best for traders to seek buy trades from the support levels, relying on continued price growth.

Alternative scenario: If the price falls below 109.00, the general downtrend should resume.

The USD / CAD currency pair

Technical indicators of the currency pair:

Previous opening: 1.2058
Previous Close: 1.2070
% mod. on the last day: + 0.10%

Yesterday the USD / CAD currency pair attempted to break through the 1.2032 support level but failed to consolidate below. Buyers pushed the price down sharply, forming a false level breakdown.

Trading recommendations

Support levels: 1.2032, 1.1944
Resistance levels: 1.2137, 1.2251, 1.2321, 1.2388, 1.2414, 1.2519

The local downtrend line has not yet been broken, so the trend remains bearish. Since the price has formed a false breakdown and reverted to the moving average on an impulse move, buyers are behaving more aggressively. In such market conditions, it is best for traders to look for both sell trades from the nearest resistance levels and buy trades from support levels, but only on intraday periods within. bullish momentum. But don’t miss that the price is inside a wide corridor of 1.232-1.2137.

Alternative scenario: If price breaks through the resistance level of 1.2137 and fixes above, a local corrective uptrend is likely to form.