The Analytical Overview of the Main Currency Pairs on 2021.04.05

April 5, 2021

by JustForex

The EUR/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.1777
  • Prev Close: 1.1761
  • % chg. over the last day: -0.14%

The corrective northern pullback in the euro was interrupted by positive data on the US labor market. The pair closed the day in the red, and the government bond yield spread between German Bonds and American T-Notes indicates a possible continuation of the euro-dollar pair’s decline.

Trading recommendations
  • Support levels: 1.1688, 1.1601
  • Resistance levels: 1.1889, 1.1990

The main scenario for EUR/USD is trading in a sideways range. Technical indicators show the likely continuation of the flat trading since the MACD is near zero, and the price is between the moving averages. The ADX hardly reacted to the southern movement on Friday. But it should be noted that the fundamental data indicate a greater likelihood of a price decline.

Alternative scenario: if the price manages to gain a foothold above the level of 1.1815, the pair may start a corrective rise to 1.1889. A breakdown of 1.1688 will indicate the resumption of the southern movement.

EUR/USD
News feed for 2021.04.05:
  • – The US ISM Non-Manufacturing Purchasing Managers’ Index (Mar) at 17:00 (GMT+3).

The GBP/USD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.3830
  • Prev Close: 1.3823
  • % chg. over the last day: -0.05%

The pound-dollar pair remained almost unchanged on Friday. The reaction to the NFP data was significantly less than in the euro-dollar, which is partly due to a decrease in trading volume. But at the same time, the pound shows the strength of the bulls, as the price remains close to the weekly range’s upper level.


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Trading recommendations
  • Support levels: 1.3705, 1.3680
  • Resistance levels: 1.3846, 1.3929

The main scenario for GBP/USD is trading sideways between 1.3846 and 1.3780. At the end of the week, technical indicators showed an increase in bullish pressure on the H1 timeframe. But with the opening of the Asian session on Monday, further gains were called into question, as the ADX fell to its lowest levels. The MACD fell to zero, and the price is between the moving averages.

Alternative scenario: if the pair consolidates above 1.3846, the pound may resume its growth to 1.3929. A breakdown of 1.3780 could trigger a further drop to 1.3705.

GBP/USD
News feed for 2021.04.05:
  • – The US ISM Non-Manufacturing Purchasing Managers’ Index (Mar) at 17:00 (GMT+3).

The USD/JPY currency pair

Technical indicators of the currency pair:
  • Prev Open: 110.61
  • Prev Close: 110.68
  • % chg. over the last day: +0.06%

The dollar-yen pair has maintained a northern direction. The stock market rallied on Friday, with the S&P 500 breaking records and bond yields continuing to rise. The dollar is also inclined to rise. All these factors provide strong support to the pair.

Trading recommendations
  • Support levels: 109.38, 108.35
  • Resistance levels: 111.71, 112.24

The main scenario is buying. Almost all technical indicators are in equilibrium. The MACD shows zero values, and the ADX is at the minimum. But as long as the price is above the moving averages, the likelihood of renewed growth in the pair increases.

An alternative scenario implies price fixing below 110.30. In this case, the pair could drop to 109.38.

USD/JPY
News feed for 2021.04.05:
  • – The US ISM Non-Manufacturing Purchasing Managers’ Index (Mar) at 17:00 (GMT+3).

The USD/CAD currency pair

Technical indicators of the currency pair:
  • Prev Open: 1.2543
  • Prev Close: 1.2570
  • % chg. over the last day: +0.22%

The Canadian dollar is showing a downward bias as the rise in oil prices has stopped. In the Asian session on Monday, WTI futures lost about $0.90, supporting the bulls in USD/CAD.

Trading recommendations
  • Support levels: 1.2574, 1.2446
  • Resistance levels: 1.2629, 1.2745

The main scenario is buying. The ADX shows the rise in bullish pressure, which increases the likelihood of a breakout of the first resistance level. The MACD has consolidated above zero, while the price is above the moving averages.

Alternative scenario: if the price manages to consolidate below 1.2560, the pair may resume its decline to 1.2466.

USD/CAD
News feed for 2021.04.05:
  • – The US ISM Non-Manufacturing Purchasing Managers’ Index (Mar) at 17:00 (GMT+3).

by JustForex

 

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.