Daily Forex Forecast August 31, 2017

EURUSD:

Expectation: Bearish to neutral

Target: 1.1800

Recommendation: Sell, with a target of 1.1800

Yesterday, the EURUSD pair was bearish and hit a low of 1.1880. Trend analysis indicates that this pair will remain bearish in the near term and the price should soon test the 1.1800 to 1.1770 support levels. Currently, the 1.1800 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 1.1770 levels. The 1.1950 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 sell with a target of 1.1800.

GBPUSD:

Expectation: Bullish to neutral

Target: 1.3000

Recommendation: Buy, with a target of 1.3000

Yesterday, the GBPUSD pair was range bound. Looking at the trend lines, it is clear that this pair is currently in a bullish to neutral phase. This pair has a support at the 1.2870 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 1.2800 levels.. Trend analysis indicates that this pair currently has a resistance area at the 1.3000 levels. If the price closes above this level, then the trend would turn strongly bullish, further bullish movement would be possible and the price could move towards the 1.3100 levels. You can aim to buy with a target of 1.3000.

USDJPY:

Expectation: Bullish to neutral

Target: 111.00

Recommendation: Buy, with a target of 111.00

The USDJPY was bullish yesterday and breached the 109.85 resistance levels. Our forecast for this pair remains unchanged. Trend analysis indicates that this pair is likely to remain bullish or range bound in the near term and could test the 111.00 resistance levels. This pair has a support around the 109.85 region. If the price closes below this point, then the trend will again become strongly bearish, further downward movement would be possible and the 109.35 level could be tested. Currently, the 111.00 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 111.50 level again. You can aim to buy with a target of 111.00.

USDCHF:

Expectation: Bullish to neutral

Target: 0.9700

Recommendation: Buy, with a target of 0.9700

Yesterday, the USDCHF too was bullish and hit a peak of 0.9645. This pair is likely to be bullish in the near term and price could test the 0.9700 to 0.9765 resistance levels. You can aim to buy with a target of 0.9700. 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 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 strongly bearish again and price could then drop towards the 0.9500 levels and later, the 0.9450 levels.