Forex Daily Forecast, Analysis and Prediction

The Euro has gone back and forth during the trading session on Wednesday as we continue to dance around the 50 day EMA.

As expected, more European restrictions to contain the new Coronavirus outbreak will increase pressure on the single European currency, as the European economy is still in the recovery phase from the consequences of the first wave.

The recovery of the US dollar was a good reason for the retreat of gold prices to the $1882 support at the beginning of Wednesday’s trading, before the price of the yellow metal stabilized around $1897 an ounce at the time of writing.

The EU leaders are to meet on Thursday and Friday at a European Council summit where trade negotiations are on the agenda.

For four trading sessions in a row, the USD/JPY pair was under downward pressure pushing it towards the 105.25 support before settling around 105.50 at the time of writing.

The consolidated trading range experienced early last week for BTC/USD did not last long.

New Covid-19 infections across Germany confirm fears over a more severe-than-expected second wave, with current hotspots in Frankfurt, Hamburg, and Munich, where localized restrictions on the hospitality industry are in place.

The EUR/USD appeared to be reestablishing a solid mid-term bullish trend higher as it incrementally rose and made resistance look vulnerable going into last weekend.

The British pound has had a tough trading session during the day on Tuesday, reaching down towards the 50 day EMA.

US dollar has rallied a bit during the trading session on Tuesday to test the top of the bullish flag that the market has been forming as of late.

The US dollar has rallied a bit during the trading session on Tuesday but continues to struggle to keep the gains as we have seen quite a bit of negativity over the longer term.

AUD/USD: Pivotal point likely at 0.7180

USD/JPY: Yen is strengthening

The Euro has broken down significantly during the trading session on Tuesday, crashing into the 50 day EMA.

The Australian dollar has fallen rather hard during the trading session on Tuesday to slice through the 50 day EMA.