[EURUSD]

Important Levels to Watch for:

- Resistance line of 1.21726 and 1.22067.

- Support line of 1.20622 and 1.20281.

Commentary/ Reason:

- The euro was kept firmly above $1.21, changed hands at $1.2114 on Tuesday, added 0.07% on the day.

- The move however, tempered down by expectations the ECB would announce further stimulus and extend its bond-buying program later this week.

- Concern at surging coronavirus cases in the U.S. tempered optimism about vaccinations and fiscal support for the U.S. economy and provided a bid for dollars. The U.S. Congress will vote this week on a stopgap funding bill to provide more time for lawmakers to reach a deal on a bigger COVID-19 relief package.

- Later today, business sentiment surveys in Germany and the United States are due and will offer some sense of how deeply the latest wave of COVID-19 has hurt consumers’ mood.

[USDCHF]

Important Levels to Watch for:

- Resistance line of 0.89555 and 0.89848.

- Support line of 0.88609 and 0.88316.

Commentary/ Reason:

- The dollar gains 0.12% on Tuesday to stay at 0.8908 against the Swiss franc after fell to its lowest in more than 5-year overnight.

- Later today, business sentiment surveys in the U.S. are due and will offer some sense of how deeply the latest wave of COVID-19 has hurt the consumers’ mood.

[GBPUSD]

Important Levels to Watch for:

- Resistance line of 1.34715 and 1.35537.

- Support line of 1.32058 and 1.31237.

Commentary/ Reason:

- On Tuesday, sterling was on edge, slipping 0.20% at $1.3350 as traders braced for more swings.

- The British pound fell to 2-1/2 week lows overnight as investors became more fearful about the chance of a Britain and the European Union failing to agree on a Brexit deal as last-ditch talks resumed in Brussels.

- The pound was under heavy pressure and risk currencies fell as the lack of progress in Brexit talks dented hopes that UK and EU negotiators will be able to strike a trade deal before a transition period ends later this month.

- British Prime Minister Boris Johnson and European Commission President Ursula von der Leyen to hold meeting in person to salvage a Brexit trade deal. PM Johnson set to travel to Brussels this week in a final push.

- British Prime Minister Boris Johnson is. Johnson will meet European Commission chief Ursula von der Leyen after two phone calls between the leaders failed to bear fruit.

-  The EU's chief negotiator Michel Barnier told members of the European Parliament in a separate briefing that negotiations could go on until Wednesday, but no further.

-  Both sides remain divided over three issues: fisheries, competition rules and governance of their potential deal.

-  Meanwhile, Britain is preparing to become the first country to roll out the Pfizer/BioNTech Covid-19 vaccine this week, initially making the shot available at hospitals before distributing stocks to doctors' clinics.