EURUSD faces further negative pressure after expanding its weakness on Monday.
January 13, 2021The EURUSD is expected to trade in the 1.2130 to 1.2205 range.
January 15, 2021EURUSD
The euro has returned to its worst week against the US dollar as traders worried about rising Italian bond yields. EURUSD Bear now needs sustained technical weakness below the 1.2130 level to add selling pressure on the pair. Any move beyond the key 1.2175 level is likely to encounter strong resistance above the 1.2200 level. The EURUSD pair is only bearish if it trades below the 1.2175 level with the main support at the 1.2130 and 1.2060 levels.
The British pound has suffered a sharp reversal against the US dollar after the Bulls failed to break the annual high of 1.3700 set earlier this month. Technical analysis shows that if the 1.3580 support region’s sentence is violated, the bears could start hitting the 1.3460 level. On the upside, a break above the 1.3702 level opens the way for intra-day gains in the GBPUSD pair towards 1.3770. The GBPUSD pair is only bullish while trading above the level of 1.3580, the key resistance is found at the levels of 1.3702 and 1.3770. If the GBPUSD pair trades below 1.3580, sellers may test the 1.3460 and 1.3380 support levels.
USDJPY has bounced back sharply from 103.52 seen yesterday but we would keep a close watch near immediate resistance at 104.20 and higher at 104.40/50 levels to see if the pair manages to break higher or falls back from here in the near term.
AUDUSD
AUD/USD remains neutral and some more consolidation could be seen below 0.7819. On the upside, break of 0.7819 will resume larger up trend from 0.5506 to 61.8% projection of 0.7413 from 0.6991 at 0.8170. On the downside, break of 0.7641 support will indicate short term topping, on bearish divergence condition in 4 hour MACD. Intraday bias will be turned back to the downside for deeper correction to 0.7461 support first.
USD/CAD stays neutral at this point. On the downside, decisive break of 1.2629 support will resumption whole down trend form 1.4667. Next target is 61.8% projection of 1.4667 to 1.2994 from 1.3389 at 1.2355. On the upside, break of 1.2834 resistance will extend the consolidation from 1.2629 with another rise to 1.2957 resistance.
WTI
WTI has come off after an initial sharp rise seen yesterday. Immediate weekly resistance of $55 seems to have held well on WTI respectively and we may expect the dip to continue for a couple of sessions more before resumption of the uptrend. Immediate view could be ranged with downside limited to $49-50 just now.
XAUUSD
XAUUSD also lost a lot before testing upside in 1880. In the medium term, we can point out that gold is between 1760 and 1940. Before that, it was possible to stop between 1820 and 1800 on the upside; we do not look for a break above 1880 just now. Overall near term trade could be seen in the 1800-1880 region.