Daily Forex Analysis - 23 November 2020

USD Overview (23 November 2020)

Last Friday, USD strengthened against most major currencies except GBP, AUD and NZD.

Federal Reserve Chairman Jerome Powell announced on Friday that the central bank will return the unused emergency funds to the U.S. Treasury as requested by Secretary Steven Mnuchin as lending programmes are set to expire at the end of the year.

The U.S. flash PMI data will be released later at 2245 (SGT).

- Flash Manufacturing PMI (Forecast: 52.5, Previous: 53.4 revised from 53.3)

- Flash Services PMI (Forecast: 55.8, Previous: 56.9 revised from 56.0)

NZD/USD Outlook (23 November 2020)

Overall, NZD/USD is trending upwards.

The New Zealand retail sales data released earlier today indicated a strong recovery in retail sales during the third quarter boosted by motor vehicles and sales in supermarkets and grocery stores.

- Retail Sales q/q (Actual: 28.0%, Forecast: 20.0%, Previous: -14.6%)

- Core Retail Sales q/q (Actual: 24.1%, Forecast: TBA, Previous: -13.7%)

NZD/USDs next support zone is at 0.67900 and the next resistance zone is at 0.70000.

Look for short-term buying opportunities of NZD/USD.

AUD/USD Outlook (23 November 2020)

Overall, AUD/USD is trending upwards. Recently, AUD/USD broke above the key level of 0.73.

The Australian flash PMI data released earlier today indicated continued expansion in business activities at an increased pace.

- Flash Manufacturing PMI (Actual: 56.1, Forecast: NA, Previous: 54.2)

- Flash Services PMI (Actual: 54.9, Forecast: NA, Previous: 53.7 revised from 53.8)

AUD/USDs next support zone is at 0.72200 and the next resistance zone is at 0.73900.

Look for buying opportunities of AUD/USD.

USD/JPY Outlook (23 November 2020)

Overall, USD/JPY is ranging across.

Japanese banks will be closed today in observance of Labor Thanksgiving Day. Expect lower trading volume and volatility during the Japanese market session.

USD/JPYs next support zone is at 102.300 and the next resistance zone is at 104.200.

Look for selling opportunities of USD/JPY.

EUR/USD Outlook (23 November 2020)

Overall, EUR/USD is ranging across.

The French flash PMI data will be released later at 1615 (SGT).

- French Flash Service PMI (Forecast: 39.2, Previous: 46.5)

- French Flash Manufacturing PMI (Forecast: 50.2, Previous: 51.3 revised from 51.0)

The German Flash PMI data will be released later at 1630 (SGT).

- German Flash Services PMI (Forecast: 46.1, Previous: 49.5 revised from 48.9)

- German Manufacturing PMI (Forecast: 56.0, Previous: 58.2 revised from 58.0)

The eurozone flash PMI data will be released later at 1700 (SGT).

- Flash Manufacturing PMI (Forecast: 53.2, Previous: 54.8 revised from 54.4)

- Flash Services PMI (Forecast: 42.2, Previous: 46.9 revised from 46.2)

EUR/USDs next support zone is at 1.17900 and the next resistance zone of 1.19800.

Look for buying opportunities of EUR/USD.

GBP/USD Outlook (23 November 2020)

Overall, GBP/USD is trending upwards. Recently, GBP/USD broke above the key level of 1.33.

The UK flash PMI data will be released later at 1730 (SGT).

- Flash Manufacturing PMI (Forecast: 50.5, Previous: 53.7 revised from 53.3)

- Flash Services PMI (Forecast: 43.2, Previous: 51.4 revised from 52.3)

GBP/USDs next support zone is at 1.32200 and the next resistance zone is at 1.34600.

Look for short-term buying opportunities of GBP/USD.

USD/CAD Outlook (23 November 2020)

Overall, USD/CAD is ranging across.

The Canadian retail sales data released last Friday indicated an increase in the rate of expansion in business activities in September.

- Core Retail Sales m/m (Actual: 1.0%, Forecast: 0.0%, Previous: 0.5%)

- Retail Sales m/m (Actual: 1.1%, Forecast: 0.2%, Previous: 0.5% revised from 0.4%)

Currently, USD/CAD is moving towards the support zone of 1.30300 and the next resistance zone is at 1.32200.

Look for selling opportunities of USD/CAD if it breaks the support zone of 1.30300.

GBP/JPY Outlook (23 November 2020)

Overall, GBP/JPY is ranging across. Recently, GBP/JPY broke above the key level of 138.

Japanese banks will be closed today in observance of Labor Thanksgiving Day. Expect lower trading volume and volatility during the Japanese market session.

The UK flash PMI data will be released later at 1730 (SGT).

- Flash Manufacturing PMI (Forecast: 50.5, Previous: 53.7 revised from 53.3)

- Flash Services PMI (Forecast: 43.2, Previous: 51.4 revised from 52.3)

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

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

EUR/JPY Outlook (23 November 2020)

Overall, EUR/JPY is ranging across.

Japanese banks will be closed today in observance of Labor Thanksgiving Day. Expect lower trading volume and volatility during the Japanese market session.

The French flash PMI data will be released later at 1615 (SGT).

- French Flash Service PMI (Forecast: 39.2, Previous: 46.5)

- French Flash Manufacturing PMI (Forecast: 50.2, Previous: 51.3 revised from 51.0)

The German Flash PMI data will be released later at 1630 (SGT).

- German Flash Services PMI (Forecast: 46.1, Previous: 49.5 revised from 48.9)

- German Flash Manufacturing PMI (Forecast: 56.0, Previous: 58.2 revised from 58.0)

The eurozone flash PMI data will be released later at 1700 (SGT).

- Flash Manufacturing PMI (Forecast: 53.2, Previous: 54.8 revised from 54.4)

- Flash Services PMI (Forecast: 42.2, Previous: 46.9 revised from 46.2)

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

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