Daily Forex Analysis - 7 December 2020

USD Overview (07 December 2020)

Last Friday, USD strengthened against most major currencies except CAD.

The U.S. Non-Farm Payroll data released last Friday indicated a slowdown in jobs growth in November as the number of COVID-19 cases increases. Nonetheless, unemployment rate declined while average hourly earnings rose.

- Average Hourly Earnings m/m (Actual: 0.3%, Forecast: 0.1%, Previous: 0.1%)

- Non-Farm Employment Change (Actual: 245K, Forecast: 480K, Previous: 610K revised from 638K)

- Unemployment Rate (Actual: 6.7%, Forecast: 6.8%, Previous: 6.9%)

NZD/USD Outlook (07 December 2020)

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

Currently, NZD/USD is moving towards the support zone of 0.70000 and the next resistance zone is at 0.72000.

Look for buying opportunities of NZD/USD if it bounces off the support zone of 0.70000.

AUD/USD Outlook (07 December 2020)

Overall, AUD/USD is trending upwards.

AUD/USDs next support zone is at 0.73900 and the next resistance zone is at 0.76800.

Look for buying opportunities of AUD/USD.

USD/JPY Outlook (07 December 2020)

Overall, USD/JPY is ranging across. Recently, USD/JPY failed to break above the key level of 104.

USD/JPYs next support zone of 103.400 and the next resistance zone is at 105.600.

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

EUR/USD Outlook (07 December 2020)

Overall, EUR/USD is trending upwards. Recently, EUR/USD bounced off the resistance zone of 1.21800.

EUR/USDs next support zone is at 1.19800 and the next resistance zone is at 1.21800.

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

GBP/USD Outlook (07 December 2020)

Overall, GBP/USD is trending upwards.

The UK Construction PMI data (Actual: 54.7, Forecast: 52.3, Previous: 53.1) released last Friday indicated an increase in the rate of expansion of the construction sector in November.

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

Look for short-term selling opportunities of GBP/USD if it bounces off the resistance zone of 1.34600.

USD/CAD Outlook (07 December 2020)

Overall, USD/CAD is trending downwards.

The Canadian employment data released last Friday indicated that the job market added more jobs than forecasted while unemployment rate declined.

- Employment Change (Actual: 62.1K, Forecast: 22.0K, Previous: 83.6K)

- Unemployment Rate (Actual: 8.5%, Forecast: 9.0%, Previous: 8.9%)

The Canadian Ivey PMI data (Forecast: NA, Previous: 54.5) will be released later at 2300 (SGT).

Currently, USD/CAD is testing the support zone of 1.27900 and the next resistance zone is at 1.29800.

Look for selling opportunities of USD/CAD if it breaks the support zone of 1.27900.

GBP/JPY Outlook (07 December 2020)

Overall, GBP/JPY is trending upwards.

The UK Construction PMI data (Actual: 54.7, Forecast: 52.3, Previous: 53.1) released last Friday indicated an increase in the rate of expansion of the construction sector in November.

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 (07 December 2020)

Overall, EUR/JPY is trending upwards. Recently, EUR/JPY bounced off the resistance zone of 126.700.

EUR/JPYs next support zone is at 124.750 and the next resistance zone is at 126.700.

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