Daily Forex Analysis - 24 November 2020

USD Overview (24 November 2020)

Yesterday, USD strengthened against most major currencies except GBP and CAD.

The U.S. flash PMI data released yesterday indicated that in November, both the manufacturing and services sectors expanded at the fastest pace in more than five-and-a-half years amid hopes of a COVID-19 vaccine and the end of the U.S. Presidential Election uncertainty.

- Flash Manufacturing PMI (Actual: 56.7, Forecast: 52.5, Previous: 53.4 revised from 53.3)

- Flash Services PMI (Actual: 57.7, Forecast: 55.8, Previous: 56.9 revised from 56.0)

Also, it was reported that President-Elect Joe Biden will be nominating former Federal Reserve Chairwomen Janet Yellen for Treasury Secretary.

NZD/USD Outlook (24 November 2020)

Overall, NZD/USD is trending upwards. Recently, NZD/USD tested and bounced up from the key level of 0.69.

The Reserve Bank of New Zealand (RBNZ) will be releasing the financial stability report tomorrow at 0400 (SGT).

RBNZ Governor Orr will be holding a press conference on the report at 1000 (SGT). During this time, volatility is expected of NZD.

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 (24 November 2020)

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

Currently, AUD/USD is testing to break above 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 (24 November 2020)

Overall, USD/JPY is ranging across. Recently, USD/JPY broker the resistance zone of 104.200 after the release of the positive U.S. flash PMI data.

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 (24 November 2020)

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

The French flash PMI data released yesterday indicated that in November, the services sector contracted at a faster pace while the manufacturing sector fell from expansionary level into contraction as a result of the lockdown measures reimplemented in late October.

- French Flash Service PMI (Actual: 38.0, Forecast: 39.2, Previous: 46.5)

- French Flash Manufacturing PMI (Actual: 49.1, Forecast: 50.2, Previous: 51.3 revised from 51.0)

The German Flash PMI data released yesterday indicated further contraction in the services sector while the rate of expansion of the manufacturing sector slowed down slightly due to the return of lockdown measures.

- German Flash Services PMI (Actual: 46.2, Forecast: 46.1, Previous: 49.5 revised from 48.9)

- German Manufacturing PMI (Actual: 57.9, Forecast: 56.0, Previous: 58.2 revised from 58.0)

The eurozone flash PMI data released yesterday indicated a slowdown in business activities from both the manufacturing and services sectors due to the return of COVID-19 restrictions in many European countries.

- Flash Manufacturing PMI (Actual: 53.6, Forecast: 53.2, Previous: 54.8 revised from 54.4)

- Flash Services PMI (Actual: 41.3, Forecast: 42.2, Previous: 46.9 revised from 46.2)

The German ifo Business Climate data (Forecast: 90.5, Previous: 92.7) will be released later at 1700 (SGT).

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

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

GBP/USD Outlook (24 November 2020)

Overall, GBP/USD is trending upwards. Recently, GBP/USD bounced down from the key level of 1.34 due to the strengthening of USD after the release of the positive U.S. flash PMI data.

The UK flash PMI data released yesterday indicated a faster pace of expansion in the manufacturing sector while services sector falls back into contraction in November due to the return of lockdown measure in the UK.

- Flash Manufacturing PMI (Actual: 55.2, Forecast: 50.5, Previous: 53.7 revised from 53.3)

- Flash Services PMI (Actual: 55.2, Forecast: 43.2, Previous: 51.4 revised from 52.3)

UK Prime Minister Boris Johnson announced a three-tiered system for COVID-19 Winter plan that will be enforced once the nationwide lockdown ends on 2 December.

The UK HM Treasury will be releasing the Autumn forecast statement today.

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 (24 November 2020)

Overall, USD/CAD is ranging across. Recently, USD/CAD tested but failed to break above the key level of 1.31.

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 (24 November 2020)

Overall, GBP/JPY is trending upwards. Recently, GBP/JPY broke above the key level of 139.

The UK flash PMI data released yesterday indicated a faster pace of expansion in the manufacturing sector while services sector falls back into contraction in November due to the return of lockdown measure in the UK.

- Flash Manufacturing PMI (Actual: 55.2, Forecast: 50.5, Previous: 53.7 revised from 53.3)

- Flash Services PMI (Actual: 55.2, Forecast: 43.2, Previous: 51.4 revised from 52.3)

UK Prime Minister Boris Johnson announced a three-tiered system for COVID-19 Winter plan that will be enforced once the nationwide lockdown ends on 2 December.

The UK HM Treasury will be releasing the Autumn forecast statement today.

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 (24 November 2020)

Overall, EUR/JPY is ranging across.

The French flash PMI data released yesterday indicated that in November, the services sector contracted at a faster pace while the manufacturing sector fell from expansionary level into contraction as a result of the lockdown measures reimplemented in late October.

- French Flash Service PMI (Actual: 38.0, Forecast: 39.2, Previous: 46.5)

- French Flash Manufacturing PMI (Actual: 49.1, Forecast: 50.2, Previous: 51.3 revised from 51.0)

The German Flash PMI data released yesterday indicated further contraction in the services sector while the rate of expansion of the manufacturing sector slowed down slightly due to the return of lockdown measures.

- German Flash Services PMI (Actual: 46.2, Forecast: 46.1, Previous: 49.5 revised from 48.9)

- German Manufacturing PMI (Actual: 57.9, Forecast: 56.0, Previous: 58.2 revised from 58.0)

The eurozone flash PMI data released yesterday indicated a slowdown in business activities from both the manufacturing and services sectors due to the return of COVID-19 restrictions in many European countries.

- Flash Manufacturing PMI (Actual: 53.6, Forecast: 53.2, Previous: 54.8 revised from 54.4)

- Flash Services PMI (Actual: 41.3, Forecast: 42.2, Previous: 46.9 revised from 46.2)

The German ifo Business Climate data (Forecast: 90.5, Previous: 92.7) will be released later at 1700 (SGT).

Currently, EUR/JPY is moving towards the key level of 124. Its 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 if it breaks above the key level of 124.