Technical Analysis on EUR/USD,GBP/USD,USD/JPY,October 21st,2015

During the session today, the interest rate decision will come out of Canada at 14:00(GMT), but the market believes that there is only 6% chance of an interest rate cut. Meanwhile, the policy meeting held by European Central Bank on Thursday is expected to move the market a little bit, especially the EUR. If European Central Bank Governor Draghi talks up issues related to enlarging scale of asset purchase program and prolong its deadline, it is high time that the exchange rate EUR to USD will experience a big slump. However, seen from the current interest rate level and economy situation, it’s not urgent for a interest rate hike for England.

EUR/USD
Seen from the 1-hour chart, the MACD of the EUR/USD is approaching the 0 axis, so we believe its pullback may continue. However, short-term resistance is found in the 4-hour chart that can stop the pair from further rising. Only the EUR/USD pair moves above 1.1380 and keep a strong pattern, can we be sure that it can strike higher. With that being the case, we are cautious of buying call options during the daytime session.
Support：1.1349/1.1318/1.1280
Resistance：1.1380/1.1400/1.1423


GBP/USD
Seen from the 1-hour chart, the GBP/USD is obviously in a bearish correction. However, we find sufficient support at the supportive level that in return will restrict the further decline. Therefore, we are buyers of put option during the daytime session.we have to stop and wait for more clue if it reaches the supportive level.
Support：1.5418/1.5400/1.5360
Resistance：1.5489/1.5500/1.5530

USD/JPY
The bullish sentiment of USD/JPY is increasing, which provides opportunity of buying call options. But we need to notice that call options should be purchased when it breaks through its resistant level at 120.00.
Support：119.70/119.55/119.32
Resistance：119.96/120.10/120.20

[Tips]
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