Important Levels to Watch for:

-        Resistance line of 1.14221 and 1.14874.

-        Support line of 1.12915 and 1.12262.

Commentary/ Reason:

  1. The euro was 0.44% higher at $1.13683 after the news of a possible Biden-Putin summit.

  2. The euro firmed as risk appetite got a boost on plans by U.S. President Joe Biden and Russia's Vladimir Putin to hold a summit on the Ukraine crisis. The office of French President Emmanuel Macron said in a statement on Monday he had pitched to both Biden and Putin a summit over "security and strategic stability in Europe". The White House said Biden had accepted the meeting "in principle" but only "if an invasion hasn't happened".

  3. However, the prospect of an aggressive tightening of policy rates by the US Federal Reserve keeping a base for the dollar in place.

  4. The EUR/USD continues to stall mid-range with neither buyers nor sellers willing to drive price action. Fundamental factors are going to drive the pair rather than technical support and resistance.




Important Levels to Watch for:

-        Resistance line of 0.92632 and 0.92854.

-        Support line of 0.91916 and 0.91694.

Commentary/ Reason:

  1. The dollar slipped against the Swiss franc to trade at 0.92032 franc on Monday.

  2. The pair started the week nervously eying tensions in eastern Europe, with the safe-haven Swiss franc have been one of the major beneficiaries of the geopolitical tension.

  3. The upside in the dollar also was limited as a decline in T-note yields weakened the dollar’s interest rate differentials.  

  4. The USD/CHF pair shows new negative trades to attack 0.9200 and attempts to confirm breaking it, to hint heading to activate the negative scenario and head to test 0.9169 areas.




Important Levels to Watch for Today:

-        Resistance line of 115.342 and 115.824.

-        Support line of 114.574 and 114.288.

Commentary/ Reason:                                        

  1. The U.S. dollar gained a fraction on the safe-haven yen to stand at 11.977, but was still not far from the two-week low of 114.789 touched on Friday.

  2. The yen lost ground on the dollar as markets seemed to take cheer from news after U.S. President Joe Biden and Russian President Vladimir Putin have agreed in principle to a summit over Ukraine, offering a possible path out of one of the most dangerous European crises in decades.

  3. Currency markets participants are also focused on central bank policy, seeking clues on the speed and size of interest rate hikes in major markets.

  4. Elsewhere, Japan's manufacturing activity expanded at the slowest pace in five months in February as output contracted.

  5. The USD/JPY struggles to regain 115.00. The level around the 114.574 will challenge the USD/JPY bears before directing them to the this month low of around 114.288.




Important Levels to Watch for:

-        Resistance line of 1.36542 and 1.36867.

-        Support line of 1.35491 and 1.35167.

Commentary/ Reason:

  1. Sterling gained 0.35% to $1.36284 on Monday, given some support by expectations of another rate hike at the Bank of England's March meeting, though still weighed by Ukraine tensions.

  2. The release of PMI data later today which will give an indication of the impact of the Omicron strain of COVID-19 on the British economy. Public remarks are also due from several BOE policy makers as well.

  3. The GBP/USD pair opens today’s trading with clear positivity to attack 1.365 level, affected by stochastic positivity, but we will depend on the last daily candlestick close below this level to keep our bearish overview, which targets 1.355 initially. On the other hand, consolidating above 1.3610 will stop the negative scenario and lead the price to turn to rise, to head towards 1.368.