Currency Forecasts
Denis Gramovich | Oct 01, 2020 07:11AM ET
Throughout August, we watched the US dollar moving along the support level of 92.58, only slightly deviating from it. But in the second half of September, the price showed a steady growth and at the beginning of this week came to the strong resistance line 94.79. Then the US dollar reversed in a downward trend. Thus, the price is expected to come back to the support level of 92.58. In this case, a sell deal should be opened now without waiting for the US dollar to fall.
Since mid-September, EUR/GBP has been moving in a downtrend with only minor price adjustments. But each of the corrections failed to break through a small resistance line, which gave no hope for the resumption of a stable growth. Therefore, the price shouldn't be expected to have enough strength to change this trend in the near future. Thus, I assume that EUR/GBP will break the closest support line at 0.905 and come to the next one at 0.895.
At the end of last week, the USD/CHF price came to the resistance line at 0.929, this held back the growth, and the price began to fall. As I predicted in the previous forecast, the pair returned to the support zone. Besides, the price bounced off this zone and today we see that it has come exactly to the intersection of two strong support lines at 0.919. So, it can be assumed that USD/CHF has tested the entry point for further growth. Moreover, the price is expected to move towards the resistance line of 0.927.
AUD/CAD
Over the past week, AUD/CAD dropped significantly, reaching a historically strong support line at 0.939. This fact was able to stop the falling and the price began to move in an uptrend. There is every reason to believe that AUD/CAD will reach the resistance line at 0.970 and, as a result, creates favorable conditions for opening a buy deal.
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Please, pay your attention! Financial market forecasts are authors' private opinions. The current analysis is not intended to be a trading guide. The author is not responsible for the results of work that may arise when using trading recommendations from the forecasts presented.
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