EURUSD: Neutral

Jim Langlands FX Charts

EURUSD: 1.0588

Eurusd squeezed higher, to reach 1.0630 on Monday before reversing to sit just below 1.0600 by the end of the session, not too far removed from where it started the day.

Once again, this leaves the outlook pretty much unchanged, and with the short term momentum indicators being pretty neutral a nimble stance is required. The dailies are also turning towards neutral, further clouding the outlook and a nimble stance is required ahead of what looks likely to be a fairly rangebound session ahead of Trump’s speech, tomorrow. Near term support will arrive at the 1.0550 and then at 23 Feb, 1.0537 low. Below that could then see a move towards 1.0500 and the 1.0493 22 Feb low, beneath which there is not too much support ahead of the 11 January low of 1.0453. A return to the topside will once again find offers at 1.0630/35 above which would allow a run towards 1.0675/80. Above here looks unlikely today, but we could potentially see a move back to 1.0700 and above. Look for something like 1.0550/0650 to cover it today while waiting on trump tomorrow.

24 Hour: Neutral		Medium Term: Prefer to sell rallies
Resistance		Support
1.0700	22 Feb high	1.0588	200 HMA
1.0678	16 Feb high	1.0551	24 Feb low
1.0630/35	Session high/(76.4% of 1.0678/1.0493)	1.0537	23 Feb low
1.0620	Minor	1.0493	22 Feb low
1.0600	Minor	1.0453	11 Jan low

Economic data highlights will include:

German Retail Sales (Jan), US Provisional GDP (Q4), Wholesale Inventories, Provisional US Personal Consumption/Expenditure, Goods Trade Balance, Case Shiller House Price Index, Chicago Purchasing Managers Index, Consumer Confidence, Richmond Fed Mfg Index, API Weekly Crude Oil Stock Inventory.

Author

Jim Langlands

FX Charts

Jim Langlands began his trading career in the commodities markets in London in 1976, before moving to Australia in 1979 to work as a floor trader on the Sydney Futures Exchange.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.