Daily Forex Forecast October 18, 2017

EURUSD:

Expectation: Bearish to neutral

Target: 1.1670

Recommendation: Sell, with a target of 1.1670

Yesterday, the EURUSD pair was bearish. Trend analysis indicates that this pair will remain bearish in the near term and the price could soon test the 1.1670 support levels. Currently, the 1.1670 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 strengthen and price to drop further and test the 1.1450 levels. The 1.1800 mark is a resistance level for this pair. If the price crosses this resistance level and closes above it, then the bullish trend will resume and price could test the 1.1900 to 1.2000 resistance levels. You can aim to sell with a target of 1.1670.

GBPUSD:

Expectation: Bearish to neutral

Target: 1.3150

Recommendation: Sell, with a target of 1.3150

Yesterday, the GBPUSD pair too moved lower and hit a low of 1.3154. 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 1.3150 region. If the price drops below this level (and closes below it), then we can expect the trend to turn bearish and price to drop further and test the 1.3000 levels. Trend analysis indicates that this pair currently has a resistance area at the 1.3225 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 1.3330 levels. You can aim to sell with a target of 1.3150.

USDJPY:

Expectation: Bearish to neutral

Target: 111.65

Recommendation: Sell, with a target of 111.65

The USDJPY was range bound yesterday. Trend analysis indicates that this pair is likely to remain bearish or range bound in the near term and could test the 111.65 support levels. This pair has a support around the 111.65 region. If the price closes below this point, then the trend will again become strongly bearish, further downward movement would be possible and the 111.00 level could be tested. Currently, the 112.35 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 113.20 level again. You can aim to sell with a target of 111.65.

USDCHF:

Expectation: Bullish to neutral

Target: 0.9830

Recommendation: Buy, with a target of 0.9830

Yesterday, the USDCHF pair was bullish and closed at 0.9783. This pair is likely to be bullish in the near term and price could test the 0.9830 resistance levels again. You can aim to buy with a target of 0.9830. The 0.9830 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 0.9950 levels. The 0.9765 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 0.9650 levels and later, the 0.9550 levels.