[EURUSD]

Important Levels to Watch for:

-        Resistance line of 1.21666 and 1.21993.

-        Support line of 1.20609 and 1.20283.

Commentary/ Reason:

  1. The euro slipped 0.10% to $1.2083 on Wednesday after the U.S. Treasury yield jumped.

  2. The euro hit a 2-1/2 week high on Tuesday following strong German economic sentiment data and after Eurozone Q4 GDP was revised upward. Although later fell back and posted losses after Tuesday's data showed the number of German manufacturing jobs in 2020 fell in its first annual decline since 2010.

  3. Investors will also focus this week on the minutes from the Federal Reserve's January meeting, where it reaffirmed its pledge to maintain a dovish policy stance, due later today.

EURUSD

 

[USDCHF]

Important Levels to Watch for:

-        Resistance line of 0.89597 and 0.89883.

-        Support line of 0.88670 and 0.88383.

Commentary/ Reason:

  1. The dollar advanced against the Swiss franc on Wednesday, trading at 0.88906, bouncing back after it touched a 1-week low yesterday.

  2. Next, all eyes will be on the release of minutes from the U.S. Federal Reserve's January meeting for hints about the likely direction of monetary policy.

USDCHF

 

[GBPUSD]

Important Levels to Watch for:

-        Resistance line of 1.39536 and 1.39857.

-        Support line of 1.38498 and 1.38177.

Commentary/ Reason:

  1. The British pound eased slightly on Wednesday, to trade at $1.3896, having reached its highest level since April 2018 on Tuesday.

  2. The sterling has been surging as vaccinations roll out rapidly across the UK, reached milestone of offering the COVID-19 vaccinations to 15 million people, and now eyeing its way out of its third national lockdown. While Britain's Brexit deal with the EU has also removed some pressure from the currency.

  3. Ahead on Wednesday investors will be eyeing inflation data releases in Britain and Canada for any signs of a jump. U.S. retail sales data is also due, as are newly published minutes from the Federal Reserve’s January policy meeting.

  4. British annual budged that will be announced on the March 3 is going to provide the next clue on the country’s finance.

GBPUSD