Forex Today: Dollar the strongest after a consolidative Monday

FXStreet Team FXStreet

Here is what you need to know on Tuesday, February 18th:

Slow start to the week amid a scarce macroeconomic calendar and a holiday in the US. The coronavirus outbreak continues to be the main risk factor, although there was no escalation in concerns that could trigger demand for safe-haven assets.
The EUR/USD pair held at the lower end of its latest range, pressuring the yearly low at 1.0826. The German Bundesbank said in its monthly report that there are no signs the currency situation is set to change in the first quarter of the year, while coronavirus’ uncertainty adds a new layer of risk.
The GBP/USD broke below 1.3000 at the end of the day, although limited volumes resulted in no follow-through. Concerns about the future relationship with the EU weighed as well as uncertainty surrounding the budget, due to be delivered by March 11.
Japanese economy contracted by more than anticipated in Q4, JPY under pressure, although coronavirus concerns limited its decline.
China added monetary stimulus, helping Asian and European equities to remain afloat. Gains were modest amid persistent coronavirus concerns.
Crypto Today: Bitcoin weekly closure is worrying

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FXStreet Team

FXStreet

EUR/USD treads water above 1.1850 amid thin trading

EUR/USD stays defensive but holds 1.1850 amid quiet markets in the European hours on Monday. The US Dollar is struggling for direction due to thin liquidity conditions as US markets are closed in observance of Presidents' Day.

GBP/USD flat lines as traders await key UK and US macro data

GBP/USD kicks off a new week on a subdued note and oscillates in a narrow range near 1.365 in Monday's European trading. The mixed fundamental backdrop warrants some caution for aggressive traders as the market focus now shifts to this week's important releases from the UK and the US.

Gold slides below $5,000 amid USD uptick and positive risk tone; downside seems limited

Gold attracts fresh sellers at the start of a new week and reverses a part of Friday's strong move up of over $150 from sub-$4,900 levels. The commodity slides back below the $5,000 psychological mark during the Asian session, though the downside potential seems limited amid a combination of supporting factors.

Bitcoin, Ethereum and Ripple consolidate within key ranges as selling pressure eases

Bitcoin and Ethereum prices have been trading sideways within key ranges following the massive correction. Meanwhile, XRP recovers slightly, breaking above the key resistance zone. The top three cryptocurrencies hint at a potential short-term recovery, with momentum indicators showing fading bearish signs.

Global inflation watch: Signs of cooling services inflation

Realized inflation landed close to expectations in January, as negative base effects weighed on the annual rates. Remaining sticky inflation is largely explained by services, while tariff-driven goods inflation remains limited even in the US.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.