Daily Forex Analysis - 12 November 2020

USD Overview (12 November 2020)

Yesterday, USD strengthened against most major currencies except NZD.

The U.S. CPI m/m data will be released later at 2130 (SGT).

- CPI m/m (Forecast: 0.1%, Previous: 0.2%)

- Core CPI m/m (Forecast: 0.2%, Previous: 0.2%)

Federal Reserve Chairman Powell will be participating in a panel discussion about monetary policy at the ECB Forum on Central Banking tomorrow at 1245 (SGT).

NZD/USD Outlook (12 November 2020)

Overall, NZD/USD is trending upwards. Recently, NZD/USD trended higher into the key level of 0.69.

Currently, NZD/USD is testing to break above the key level of 0.69. Its next support zone is at 0.67900 and the next resistance zone is at 0.70000.

Look for buying opportunities of NZD/USD if it breaks above the key level of 0.69.

AUD/USD Outlook (12 November 2020)

Overall, AUD/USD is trending upwards. Recently, AUD/USD tested but failed to break above the key level of 0.73.

Currently, AUD/USD is moving towards the key level of 0.73. Its next support zone is at 0.72200 and the next resistance zone is at 0.73900.

Look for buying opportunities of AUD/USD if it breaks above the key level of 0.73.

USD/JPY Outlook (12 November 2020)

Overall, USD/JPY is ranging across. Recently, USD/JPY bounced up from the key level of 105.

USD/JPYs next support zone is at 104.200 and the next resistance zone is at 106.300.

Look for buying opportunities of USD/JPY.

EUR/USD Outlook (12 November 2020)

Overall, EUR/USD is ranging across. Recently, EUR/USD broke the support zone of 1.17900.

Yesterday, European Central Bank (ECB) President Lagarde reiterated that the central bank will have more evidence to decide whether to carry out more monetary easing in December.

Also, yesterday, it was reported that the post-Brexit trade talk between the EU and UK is expected to be held through the end of this week, thus running past the mid-November deadline. It was said by an EU diplomat that the hard deadline is later next week.

President Lagarde will be participating in a panel discussion about monetary policy at the ECB Forum on Central Banking tomorrow at 1245 (SGT). During this time, volatility is expected of EUR.

Currently, EUR/USD is testing the resistance zone of 1.17900 and the next support zone is at 1.16500.

Look for selling opportunities of EUR/USD if it bounces off the resistance zone of 1.17900.

GBP/USD Outlook (12 November 2020)

Overall, GBP/USD is trending upwards. Recently, GBP/USD bounced down from the key level of 1.33 and moved into the support zone of 1.32200.

Yesterday, it was reported that the post-Brexit trade talk between the EU and UK is expected to be held through the end of this week, thus running past the mid-November deadline. It was said by an EU diplomat that the hard deadline is later next week.

The UK GDP data will be released later at 1500 (SGT).

- Preliminary GDP q/q (Forecast: 15.8%, Previous: -19.8 revised from -20.4%)

- GDP m/m (Forecast: 1.5%, Previous: 2.1%)

Band of England Governor Bailey will be speaking later at 1600 (SGT). During this time, there may be volatility in GBP.

Governor Bailey will be participating in a panel discussion about monetary policy at the ECB Forum on Central Banking tomorrow at 1245 (SGT). During this time, volatility is expected of GBP.

Currently, GBP/USD is testing the support zone of 1.32200 and the next resistance zone is at 1.34600.

Look for buying opportunities of GBP/USD if it bounces off the support zone of 1.32200.

USD/CAD Outlook (12 November 2020)

Overall, USD/CAD is trending downwards. Recently, USD/CAD broke the resistance zone of 1.30300.

USD/CADs next support zone is at 1.30300 and the next resistance zone is at 1.32200.

Look for buying opportunities of USD/CAD.

GBP/JPY Outlook (12 November 2020)

Overall, GBP/JPY is trending upwards. Recently, GBP/JPY bounced off the resistance zone of 140.

Yesterday, it was reported that the post-Brexit trade talk between the EU and UK is expected to be held through the end of this week, thus running past the mid-November deadline. It was said by an EU diplomat that the hard deadline is later next week.

The UK GDP data will be released later at 1500 (SGT).

- Preliminary GDP q/q (Forecast: 15.8%, Previous: -19.8 revised from -20.4%)

- GDP m/m (Forecast: 1.5%, Previous: 2.1%)

Band of England Governor Bailey will be speaking later at 1600 (SGT). During this time, there may be volatility in GBP.

Governor Bailey will be participating in a panel discussion about monetary policy at the ECB Forum on Central Banking tomorrow at 1245 (SGT). During this time, volatility is expected of GBP.

GBP/JPYs next support zone is at 137.500 and the next resistance zone is at 140.000.

Look for short-term selling opportunities of GBP/JPY.

EUR/JPY Outlook (12 November 2020)

Overall, EUR/JPY is ranging across. Recently, EUR/JPY moved down into the key level of 124.

Yesterday, European Central Bank (ECB) President Lagarde reiterated that the central bank will have more evidence to decide whether to carry out more monetary easing in December.

Also, yesterday, it was reported that the post-Brexit trade talk between the EU and UK is expected to be held through the end of this week, thus running past the mid-November deadline. It was said by an EU diplomat that the hard deadline is later next week.

President Lagarde will be participating in a panel discussion about monetary policy at the ECB Forum on Central Banking tomorrow at 1245 (SGT). During this time, volatility is expected of EUR.

EUR/JPYs next support zone is at 122.600 and the next resistance zone is at 124.750.

Look for short-term selling opportunities of EUR/JPY.