Daily Forex Forecast August 22, 2017

EURUSD:

Expectation: Bullish to neutral

Target: 1.1910

Recommendation: Buy, with a target of 1.1910

Yesterday, the EURUSD pair moved up, as we had predicted, and hit a peak of 1.1828. Trend analysis indicates that this pair will remain bullish in the near term and the price should soon close above the 1.1910 resistance levels. Currently, the 1.1790 point is the immediate support level for this pair. If the price drops below this level (and closes below it), then we can expect the bearish trend to resume and price to drop further and test the 1.1750 levels and later, the 1.1650 levels. The 1.1910 mark is a resistance level for this pair. If the price crosses this resistance level and closes above it, then the bullish trend will strengthen and price could test the 1.2000 resistance levels. You can aim to buy with a target of 1.1910.

GBPUSD:

Expectation: Bearish to neutral

Target: 1.2865

Recommendation: Sell, with a target of 1.2865

Yesterday, the GBPUSD pair moved up and hit a peak of 1.2915. Our forecast for this pair remains unchanged. Looking at the trend lines, it is clear that this pair is currently in a bearish to neutral phase. This pair has a support at the 1.2865 region. If the price drops below this level (and closes below it), then we can expect the trend to turn strongly bearish and price to drop further and test the 1.2830 levels and later, the 1.2750 levels. You can aim to sell with a target of 1.2865. Trend analysis indicates that this pair currently has a resistance area at the 1.2915 levels. If the price closes above this level, then the trend would turn bullish, further bullish movement would be possible and the price could move towards the 1.2970 levels, and later towards the 1.3030 region. If price crosses the 1.2915 levels, then you can buy with a target of 1.3030.

USDJPY:

Expectation: Bearish to neutral

Target: 108.70

Recommendation: Sell, with a target of 108.70

The USDJPY initially moved lower yesterday and fell below the 108.70 key support but later moved upwards. Trend analysis indicates that this pair is likely to remain bearish or range bound in the near term and could test the 108.70 support levels. This pair has a support around the 108.70 region. If the price closes below this point, then the trend will again become strongly bearish, further downward movement would be possible and the 108.00 level could be tested. You can aim to sell with a target of 108.70. Currently, the 109.70 area is a resistance level for this pair. If this level is breached and the pair closes above this point, then the trend would become strongly bullish and price could test the 110.50 level again.

USDCHF:

Expectation: Bearish to neutral

Target: 0.9580

Recommendation: Sell, with a target of 0.9580

Yesterday, the USDCHF remained range bound. This pair is likely to be bearish in the near term and price could test the 0.9580 to 0.9550 support levels again. You can aim to sell with a target of 0.9580. The 0.9700 level is the immediate resistance area for this pair currently. If the price closes above this level, then the trend will turn strongly bullish, further bullish movement would be possible and the price could move towards the 0.9765 levels. The 0.9580 level is the immediate support area for this pair. A clear break below this area would signal that the trend is bearish again and price could then drop towards the 0.9550 levels and later, the 0.9450 levels.