[EURUSD]

Important Levels to Watch for:

- Resistance line of 1.22601 and 1.22870.

- Support line of 1.21731 and 1.21462.

Commentary/ Reason:

- The euro rose 0.21% to $1.2239 in the Asian session, hovering near the 2-1/2-year high of 1.2272 touched earlier this month.

- The euro was boosted on Monday as risk sentiment improved in the wake of Britain’s trade deal with the EU and U.S. President Donald Trump’s decision to approve a new fiscal stimulus package.

- The euro also gained strength on vaccine optimism as EU countries began mass vaccinations on Sunday. EUR/USD also garnered support after EU ambassadors approved the provisional application of the EU/UK Trade and Cooperation Agreement to take effect on January 1, 2021.

EURUSD

 

[USDCHF]

Important Levels to Watch for:

- Resistance line of 0.89141 and 0.89388.

- Support line of 0.88341 and 0.88094.

Commentary/ Reason:

- The dollar retreated to 0.8868, down 0.18% on Tuesday against the Swiss franc, after the currency recorded a weekly high of 0.90088 overnight.

USDCHF

 

[GBPUSD]

Important Levels to Watch for:

- Resistance line of 1.35814 and 1.36387.

- Support line of 1.33960 and 1.33387.

Commentary/ Reason:

- The British pound rose 0.34% against the U.S. dollar to $1.34909 following a two-day decline and was holding below a 2-1/2-year high of $1.36246 reached on Dec. 17.

- Sterling initially softened to $1.3462 on the day as investors take profits in the currency following the confirmation last week of a trade UK-EU trade deal that was widely expected.

- The pound regained as risk sentiment improved in the wake of Britain’s trade deal with the EU and U.S. President Donald Trump’s decision to approve a new fiscal stimulus package.

- Coronavirus situation in Britain is also concerning as it reports record daily number of new coronavirus cases, topping 40,000 on Monday.

GBPUSD