Daily Forex forecast analysis 09-13-2017 – we analyzed the upcoming currency pairs and events of the day that could impact the Forex market, These analysis are published here each day.
Forex Forecast Analysis 09-13-2017 include information on EURUSD, USDCHF, GBPUSD, USDJPY & AUDUSD
The euro continued to weaken against the US dollar and reached last Thursday swing low around 1.1928 and then started to recover. The price managed to break above the 1h chart 20 EMA, suggesting that the bulls were able to regain short-term control over the order flow. If the market will continue to treat the EMA as support, further upside gains might follow, while if a strong breakout below the EMA will take place, the selling pressure will resume.
At the time of writing, the price is hovering around 1.1977 resistance level, which is backed by the 1.1992 area above it. In case the bullish momentum starts to increase again, we might see the price heading towards 1.2016.
On the downside, sellers should manage to first breach the EMA and keep the gains intact, in order to be able to drive the price lower towards 1.1946 and 1.1928, where it rebounded yesterday. 1.1911 follows below it, then.
- From EU, Industrial Production and Employment Change figures are due at 09:00am GMT.
- From US, Producer Price Index figures are due to being released at 00:30pm GMT.
The US dollar continued to appreciate further against the swiss franc yesterday and the Monday momentum continued to be at high points. Even though the price found some short-term resistance around 0.9614 level, that we’ve also mentioned in our yesterday market forecast, the bias remains towards the buy side. As long as the selling activity will remain subdued, that will confirm the buyers are still in control and the upside could extend further.
At the time of writing, the price is located around 0.9594 level, one of our short-term resistance points and if it manages to breach it, further gains will follow towards 0.9614 and if a breakout above yesterday high will take place, 0.9645 could be under pressure.
In case the consolidation structure will extend further, we expect the price to test the 0.9575 support, where it found support yesterday. The 4h chart 20 EMA and 0.9549 are expected to cap the downside, in case they will be reached.
- From Switzerland, Producer and Import Prices are due at 07:15am GMT.
Cable continued its impressive bull run yesterday, after the inflation numbers that were released from UK came out above expectations. The price hit in a few minutes the 1.3266, last month high and after hovering around for a little while it continued to move on the upside. For now, it is located above it and as long it continues to do so, further upside gains are expected. On the other hand, a breach below it could offer the sellers the opportunity to gain some ground.
If the upside will continue to be in play (and looking at the current price action structure that is very likely) we expect the bullish trend to continue to extend towards 1.3348 and 1.3431, where some stronger resistance zones are located.
On the downside, the sellers should be capped by either 1.3266 or 1.3243. Below those two areas, 1.3223 and the 4h chart EMA should back them further.
- From UK, employment figures and average earnings figures are due at 08:30am GMT.
Dollar-yen had also been an important gainer yesterday, as the price continued on its way up, only to be capped short-term by the 110.27 resistance level. So far, the selling activity had been weak, which is not surprising at all, considering that for the last two days the price had been surging more than 200 pips. A retracement lower is not excluded, but the bull move should extend higher in the short-term.
If the bullish momentum resumes again, 110.27 should be cleared by the bulls and a breakout above it will open further ground towards 110.64 and 110.89, where stronger selling activity could follow, considering that we’ve seen sellers react to them in the past.
If the price starts to correct lower, 109.92-109.83 is expected to absorb some of the selling orders and buyers should see it as an opportunity to get long again. Above that area, 109.54 should follow then.
The Aussie did not have a clear directional bias yesterday, instead the price hovered around the 4h chart 20 EMA. However, considering that it did not managed to break impulsively above it and at the same time, it kind of like treat it like a resistance area, some further selling pressure might follow in the short-term. Only if the buyers resume and break above yesterday high we should see some further upside gains.
If the sellers will manage to treat the EMA as resistance and start a new leg lower, 0.7994 support will be eyed, while a breakout below it should open further selling ground towards 0.7963 and 0.7941.
On the upside, resistance lies around 0.8044 and 0.8066. If the sellers won’t manage to cap the upside around them, further gains towards current monthly highs will be next.