FX Market Summary - Oct 13, 2020

USD/JPY

The USD/JPY pair is bearish heading into the Asian opening. In the 4-hour chart, it’s trading below all of its moving averages, which anyway lack directional strength. At the same time, technical indicators hover near oversold readings, partially losing their bearish momentum but still favoring a bearish extension, particularly on a break below the 105.00 figure.

Support levels: 105.00 104.65 104.20

Resistance levels: 105.80 106.25 106.60

EUR/USD

The EUR/USD pair is trading around 1.1810, retaining its bullish stance, as per trading above a daily ascendant trend line coming from late September, currently around 1.1760. In the 4-hour chart, the pair continues to develop above all of its moving averages, with the 20 SMA still advancing. Technical indicators, in the meantime, have stabilized within positive levels. Further gains are to be expected on a break above 1.1830, the immediate resistance level.

Support levels: 1.1760 1.1720 1.1680

Resistance levels: 1.1830 1.1870 1.1915

GBP/USD

The GBP/USD pair seems poised to extend its advance, facing its next relevant resistance area at the 1.3100 threshold. The 4-hour chart shows that the pair is comfortable above all of its moving averages, with the 20 SMA about to cross above the 200 SMA. Technical indicators have approached overbought readings, with the Momentum still advancing and the RSI stable at around 67, supporting a bullish continuation in the near term.

Support levels: 1.3040 1.2995 1.2950

Resistance levels: 1.3100 1.3150 1.3190

Source: fxstreet.com