Analytical overview of the major currency pairs in 2022.06.24 :: InvestMacro


by just forex

EUR/USD . currency pair

Technical indicators for the currency pair:

  • Previous Conquest: 1.0564
  • Previous Close: 1.0520
  • % changing. Over the past day: -0.42%

German and French PMI data showed that the Eurozone economy is beginning to show signs of slowing. In Germany, the manufacturing PMI fell from 54.8 to 52 while the services PMI fell from 55 to 52.4. In France, the manufacturing PMI fell from 58.3 to 54.4, and the services PMI fell from 54.6 to 51. A drop in the PMI below 50 is usually a sign of a recession in which the central bank raises interest rates. At the time, Fed spokesman Casimir said yesterday that some eurozone countries may face a short-term recession.

Trading Recommendations

  • Support levels: 1.0408, 1.0379
  • Resistance levels: 1.0555, 1.0611, 1.0680, 1.0723

From a technical point of view, the trend on the EUR/USD currency pair on the hourly time frame is a downtrend. The price is forming a wide corridor, and the MACD indicator has become inactive. Under these market conditions, short positions can be considered from the resistance level of 1.0555 or the upper boundary of the flat, but only after additional confirmation. A price move above 1.0611 will change the priority. It is better to look for long positions on the intraday time frames from the support level 1.0408 or the lower border of the flat, but only with confirmation and short targets.

Alternative scenario: If the price breaks through the resistance level 1.0611 and is fixed above, it is likely that the uptrend will resume.

News Briefing for 06.24.2022:

  • – German IFO business climate index for the eurozone (monthly) at 11:00 (GMT +3);
  • – EU leaders summit in the eurozone at 13:00 (GMT + 3);
  • – US Fed Bullard speaks at 14:30 (GMT +3);
  • – US New Home Sales (m/m) at 17:00 (GMT +3).

Currency pair GBP / USD

Technical indicators for the currency pair:

  • Previous conquest: 1.2263
  • Previous Close: 1.2260
  • % changing. Over the past day: -0.02%

The UK manufacturing PMI fell last month from 54.6 to 53.4, while the services sector remained at 53.4. Despite all the media talk about the dire state of the British economy, the PMI shows that business activity in the UK is higher than in the Eurozone.

Trading Recommendations

  • Support levels: 1.2238, 1.2093, 1.1974
  • Resistance levels: 1.2422, 1.2470, 1.2523, 1.2629

From a technical point of view, the trend on the GBP/USD currency pair on the hourly time frame is a downtrend. The situation is very similar to the euro. The price is forming a wide corridor, while the MACD indicator is not showing any activity. Under these market conditions, short positions can be considered from the resistance level of 1.2422 or the upper boundary of the flat, but only after additional confirmation. It is better to look for long positions on the intraday time frames from the support level 1.2238 or the lower border of the flat, but only with confirmation and short targets.

Alternative scenario: If the price breaks through the resistance level 1.2422 and is fixed above, the uptrend is likely to resume.

British Pounds / US Dollars

News Briefing for 06.24.2022:

  • – UK Retail Sales (month / month) at 09:00 (GMT +3).

Currency pair USD/JPY

Technical indicators for the currency pair:

  • Previous conquest: 136.21
  • Previous Close: 134.96
  • % changing. Over the past day: -0.93%

The nationwide core CPI was 2.1% for the second month in a row and again exceeded the target level for the Bank of Japan. This data challenges the BoJ’s view that the recent rate increase is temporary and does not require the withdrawal of monetary stimulus. These sentiments provided a short boost to the Japanese yen. But with wage growth slowing, many analysts expect the Bank of Japan to continue to pursue a soft monetary policy rather than fight inflation by raising interest rates.

Trading Recommendations

  • Support levels: 134.10, 133.35, 131.67, 131.00, 130.12, 129.48, 128.76
  • Resistance levels: 135.23, 135.77, 136.66

The medium-term trend of the USD/JPY is bullish, but today the price corrected to the moving average lines and canceled the final balance. This is a sign of weak buyers. The MACD indicator is in the negative territory. Under such market conditions, buying from the support level 134.10 or 133.35 can be considered, but with confirmation. The resistance level 135.23 is good for short positions, but only with additional confirmation and short targets.

Alternative scenario: If the price holds below 133.35, the downtrend is likely to resume.

US dollar / Japanese yen

News Briefing for 06.24.2022:

  • – Japanese National Consumer Price Index at 02:30 (GMT +3).

Currency pair USD/CAD

Technical indicators for the currency pair:

  • Previous Conquest: 1.2945
  • Previous Close: 1.2995
  • % changing. Over the past day: +0.39%

The Canadian dollar is a commodity currency, so it depends not only on the dynamics of the US dollar index but also on oil prices. The dollar index strengthened yesterday after Jerome Powell’s speech to Congress, while oil prices fell. As a result, the Canadian dollar lost some of its gains. But it is worth noting that the Bank of Canada is on the way to raise interest rates, and the latest inflation data in Canada showed that inflation is not stopping. Therefore, based on the expectations of a rate hike in the upcoming meeting, the Canadian dollar may get a boost soon.

Trading Recommendations

  • Support levels: 1.2966, 1.2893, 1.2815, 1.2709, 1.2618, 1.2578, 1.2510
  • Resistance levels: 1.3068

In terms of technical analysis, the trend on the USD/CAD currency pair is bullish. The MACD indicator has turned positive, and the buyers are showing their strength once again. In these market conditions, it is better to look for long positions in the lower time frames from the support level of 1.2966. For short positions, it is better to look at the resistance level 1.3068, but it is also better with confirmation and short targets.

Alternative scenario: If the price breaks through the support level 1.2815 and consolidates below the support level 1.2815, the downtrend is likely to resume.

US dollar / Canadian dollar

There is no news feed for today.

by just forex

This article reflects a personal opinion and should not be construed as investment advice and/or a continuing offer and/or solicitation to carry out financial transactions and/or guarantee and/or anticipation of future events.



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