EUR/USD

EUR/USD refreshes multi-year highs above 1.2200, as the US dollar remains vulnerable amid Powell’s dovish tone on inflation. The euro further benefits from the “unambiguously positive” Eurozone business activity data. US stimulus updates awaited. 

The American dollar advanced further as an initial reaction to the Fed’s decision, as the central bank fell short of expectations. The EUR/USD pair fell to a daily low of 1.2124, later recovering to the current 1.2190 area. The 4-hour chart shows that it’s trading around a mildly bullish 20 SMA while still above the longer ones. Technical indicators have turned south and pierced their midlines, supporting a corrective decline should the pair pierce the 1.2120 support.

Support levels: 1.2120 1.2075 1.2030  

Resistance levels: 1.2175 1.2230 1.2280

GBP/USD

GBP/USD hits fresh multi-year highs above 1.3550 in early European trading. Markets remain hopeful of a Brexit deal likely to be reached sooner. BOE may refrain from talking about negative rates, the decision eyed alongside US stimulus news.

From a technical perspective, the pair is now looking to build on the momentum further beyond a near three-month-old ascending trend-channel resistance. With technical indicator still far from being in the overbought territory, the stage seem set for a move towards reclaiming the 1.3600 round-figure mark. This is followed by resistance near the 1.3635 region. Some follow-through buying should pave the way for an extension of the ongoing appreciating move

USD/CAD

USD/CAD picks up the bids near 1.2750, up 0.05% intraday, during early Thursday. The loonie pair extends bounce off multi-month bottom marked earlier in the week. Given the pair’s sustained trading beyond a short-term support line, amid an absence of overbought RSI conditions, USD/CAD buyers are likely to stay hopeful.

he Canadian Dollar scored a trifecta this week with crude oil prices rising to their best level since the March pandemic advent, favorable technical indicators and the continuing aversion to the American currency from the still rising COVID-19 count in the United State

Gold

Gold’s 4-hour chart shows an inverse head-and-shoulders pattern. The yellow metal is flirting with resistance at $1,866 – the neckline of the inverse head-and-shoulders pattern. Acceptance above would confirm a breakout or bearish-to-bullish trend change.

The XAU/USD pair built on previous week’s gains and touched its highest level in two weeks at $1,875.79 on Tuesday. In addition to the technical buying pressure that gathered momentum after the pair closed above the 20- day SMA back in early December, the USD’s poor performance fueled the rally. 

WTI

WTI prints a four-day winning streak as buyers attack the March 2018 high. The energy benchmark recently refreshed the multi-day peak to $48.58, currently up 1.1% near $48.55, during early Thursday. Even so, multiple resistances to the north, coupled with the overbought RSI conditions on the daily (D1) chart, suggest the black gold’s pullback.

In a case where the WTI bears keep reins below $42.00, $40.00 psychological magnet and the support line of a nine-month-old bearish formation, rising wedge, around $39.80, will be the key to watch.

Alternatively, March high precede February lows, respectively around $48.75 and $49.45, to challenge the WTI buyers ahead of the $50.00 round-figure. Also acting as a strong resistance is the upper line of the wedge, at $50.35