Daily Forex Forecast for May 9, 2017

EURUSD:

Expectation: Bearish to neutral

Target: 1.0850 to 1.0950

Yesterday, the EURUSD pair was bearish and hit a low of 1.0916. At this point in time, we expect this pair to remain bearish in the near term. The 1.0915 point is an immediate support level for this pair in the near term. If the price drops below this level (and closes below it), then we can expect price to drop further and remain range bound for some time in the 1.0850 to 1.0950 area. If the price breaks below the 1.0850 mark, then the next support at 1.0730 could be tested. Alternatively, if price closes above the resistance level at the 1.0950 mark, then we could expect further bullish movement towards the 1.1050 levels.

GBPUSD:

Expectation: Bearish near term

Target: 1.2900 to 1.2885

The GBPUSD pair moved lower yesterday and hit a low of 1.2929. This indicates a bearish near term sentiment though we expect the price to stay bullish in the longer term. In the near term, the price is likely to test the support levels at the 1.2900 to 1.2885 regions. You can aim to buy at these levels. This pair currently has a resistance area at the 1.2950 to 1.2960 levels. If the price closes above this level, then further bullish movement is possible and the price could move towards the 1.3000 to 1.3050 levels.

USDJPY:

Expectation: Bullish to neutral

Target: 113.60

Yesterday, the USDJPY pair was bearish initially and touched a low of 112.39. Later, this pair trended upwards and closed at 113.23. Our forecast for this pair remains the same at this time – this pair is likely to remain bullish in the near term and could test the 113.60 level in the near term and then move towards the 114.00 levels. This pair has a strong support at the 112.50 mark currently – if the price closes below this point, then further bearish movement could be possible and the 111.85 level could be tested. If that happens, then you can aim to buy at the 111.85 level. At the moment though, we expect further bullish movement and this pair could move towards the 113.60 level.

USDCHF:

Expectation: Bullish to neutral

Target: 1.0020

The USDCHF pair moved higher yesterday and reached a daily high of 0.9990. This pair is likely to be bullish in the near term and could test the 1.0020 resistance point. You can aim to sell at this level. The 0.9950 point is a support level for this pair. If this mark is breached and the pair closes below this level, then we could see further bearish momentum with price moving towards the 0.9900 point. Meanwhile, we expect further bullish momentum in this pair and expect the price to move towards the 1.0020 mark.