Daily Forex Analysis - 20 November 2020

USD Overview (20 November 2020)

Yesterday, USD weakened against most major currencies except GBP, AUD and NZD.

G20 meetings will be carried out over the weekend.

NZD/USD Outlook (20 November 2020)

Overall, NZD/USD is trending upwards. Recently, NZD/USD has been ranging across.

G20 meetings will be carried out over the weekend.

The New Zealand retail sales data will be released next Monday at 0545 (SGT).

- Retail Sales q/q (Forecast: TBA, Previous: -14.6%)

- Core Retail Sales q/q (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 buying opportunities of NZD/USD.

AUD/USD Outlook (20 November 2020)

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

G20 meetings will be carried out over the weekend.

The Australian flash PMI data will be released next Monday at 0600 (SGT).

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

- Flash Services PMI (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 (20 November 2020)

Overall, USD/JPY is ranging across. Recently, USD/JPY bounced off from the resistance zone of 104.200.

The Japanese flash manufacturing PMI data (Actual: 48.3, Forecast: 49.4, Previous: 48.7 revised from 48.0) released earlier today indicated continued contraction of the manufacturing sector in November.

G20 meetings will be carried out over the weekend.

Japanese banks will be closed next Monday 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 (20 November 2020)

Overall, EUR/USD is ranging across. Recently, EUR/USD bounced down from the key level of 1.19.

In her speech yesterday, European Central Bank President Lagarde highlighted that the recent resurgence of COVID-19 Is having depressing the eurozone services sector while the manufacturing sector continues to improve. She also reiterated that the central bank will recalibrate its monetary tools based on an updated assessment of the eurozone economy with the PEPP and TLTROs being the main tools.

Yesterday, Brexit Chief negotiator Barnier said that one of his team members has been tested positive for COVID-19. As a result, negotiations at their level will be suspended for a short period.

President Lagarde will be speaking later at 1615 (SGT). During this time, there may be volatility in EUR.

G20 meetings will be carried out over the weekend.

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

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

GBP/USD Outlook (20 November 2020)

Overall, GBP/USD is trending upwards. Recently, GBP/USD bounced off the support zone of 1.32200.

Yesterday, Brexit Chief negotiator Barnier said that one of his team members has been tested positive for COVID-19. As a result, negotiations at their level will be suspended for a short period.

The UK Retail Sales m/m data (Forecast: -0.3%, Previous: 1.5%) will be released today at 1500 (SGT).

G20 meetings will be carried out over the weekend.

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 (20 November 2020)

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

The Canadian ADP Non-Farm Employment Change data (Actual: -79.5K, Forecast: NA, Previous: -564.4K revised from -240.8K) released yesterday indicated a slowdown in the decline of jobs in October.

The Canadian retail sales data will be released later at 2130 (SGT).

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

- Retail Sales m/m (Forecast: 0.2%, Previous: 0.4%)

G20 meetings will be carried out over the weekend.

Currently, USD/CAD is testing to break above the key level of 1.31. Its next support zone is at 1.30300 and the next resistance zone is at 1.32200.

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

GBP/JPY Outlook (20 November 2020)

Overall, GBP/JPY is ranging across.

Yesterday, Brexit Chief negotiator Barnier said that one of his team members has been tested positive for COVID-19. As a result, negotiations at their level will be suspended for a short period.

The Japanese flash manufacturing PMI data (Actual: 48.3, Forecast: 49.4, Previous: 48.7 revised from 48.0) released earlier today indicated continued contraction of the manufacturing sector in November.

The UK Retail Sales m/m data (Forecast: -0.3%, Previous: 1.5%) will be released today at 1500 (SGT).

G20 meetings will be carried out over the weekend.

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

Currently, GBP/JPY is testing the support zone of 137.500 and the next resistance zone is at 140.000.

Look for selling opportunities of GBP/JPY if it breaks the support zone of 137.500.

EUR/JPY Outlook (20 November 2020)

Overall, EUR/JPY is ranging across. Recently, EUR/JPY bounced up from the key level of 123.

In her speech yesterday, European Central Bank President Lagarde highlighted that the recent resurgence of COVID-19 Is having depressing the eurozone services sector while the manufacturing sector continues to improve. She also reiterated that the central bank will recalibrate its monetary tools based on an updated assessment of the eurozone economy with the PEPP and TLTROs being the main tools.

Yesterday, Brexit Chief negotiator Barnier said that one of his team members has been tested positive for COVID-19. As a result, negotiations at their level will be suspended for a short period.

The Japanese flash manufacturing PMI data (Actual: 48.3, Forecast: 49.4, Previous: 48.7 revised from 48.0) released earlier today indicated continued contraction of the manufacturing sector in November.

President Lagarde will be speaking later at 1615 (SGT). During this time, there may be volatility in EUR.

G20 meetings will be carried out over the weekend.

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

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 if it breaks below the key level of 123.