Forecast for the EUR/USD currency pair

Technical indicators of the currency pair:

Prev Opening: 1.08860
Opening: 1.09829
Chg. % Of the last day: +0.91
Daily range: 1.09695 – 1.09902
52-week range: 1.0366 – 1.1616

Yesterday, aggressive purchases were observed on EUR/USD. The euro added more than 100 points. This is due to the victory of Emmanuel Macron at the debate with Marin Le Pen. We want to remind you that the second round of the presidential elections in France will be held this Sunday, May 7. Today, the attention is focused on the report on the labor market in the United States. Preliminary data from ADP was quite positive. At the same time, investors are wary, as the latest statistics from the United States was ambiguous. At the moment, the key trading range is 1.09350-1.09850.

The MACD histogram is in the positive area, but below the signal line, which gives a weak signal to buy EUR/USD.

Stochastic Oscillator has fixed in the neutral zone, the %K line is below the %D line, which indicates the correction of the EUR/USD currency pair.

News background on the US economy:
– change in the number of people employed in the non-agricultural sector of the country (15:30 GMT+3:00);
– average hourly wage (15:30 GMT+3:00);
– the proportion of the economically active population (15:30 GMT+3:00);
– the unemployment rate (15:30 GMT+3:00).

Also at 20:30 (GMT+3:00) the Fed Chairman will give a speech.

Trading recommendations

Support levels: 1.09350, 1.08650
Resistance levels: 1.09850

If economic reports from the US are weak, the growth of the EUR/USD currency pair may continue. The movement is tending potentially to 1.10500.

An alternative may be a downward trend on EUR/USD to a round level of 1.09000.

Forecast for the GBP/USD currency pair

Technical indicators of the currency pair:

Prev Opening:
Opening: 1.29214
Chg. % of the last day: +0.42
Daily range: 1.28996 – 1.29419
52-week range: 1.1986 – 1.5020