[EURUSD]

Important Levels to Watch for:

-        Resistance line of 1.21068 and 1.21417.

-        Support line of 1.20370 and 1.20021.

Commentary/ Reason:

  1. The euro rose against the dollar on Tuesday, to trade firmer at $1.2095 after touching a 6-week low of $1.2052 overnight.

  2. Investors await remarks from U.S. President-elect Joe Biden’s nominee for Treasury secretary, Janet Yellen. Yellen is expected to affirm the U.S.’s commitment to market-set currency rates when she testifies on Capitol Hill on Tuesday.

  3. Investors also watching out for U.S. President-elect Biden’s inauguration speech on Wednesday for details on the country’s $1.9 trillion aid package. Markets are concerned that Biden's proposals could be watered down by congressional opposition.

  4. Political developments in Rome are watched, as Prime Minister Conte faces two days of parliamentary votes that will decide if his fragile coalition can cling to power.

EURUSD

 

[USDCHF]

Important Levels to Watch for:

-        Resistance line of 0.89362 and 0.89503.

-        Support line of 0.88906 and 0.88765.

Commentary/ Reason:

  1. The dollar rose steadily on Tuesday, added 0.10%, to stay at 0.8909, as it touched a new 1-month high overnight.

  2. Investors are watching out for U.S. President-elect Biden’s inauguration speech on Wednesday for details on the country’s $1.9 trillion aid package.

  3. The greenback strengthening as a safe-haven demand for the currency among investors kicked in.

  4. Switzerland's to hold referendum to decide on whether to impose lockdown or not to the country.

USDCHF

 

[GBPUSD]

Important Levels to Watch for:

-        Resistance line of 1.37165 and 1.37803.

-        Support line of 1.35101 and 1.34463.

Commentary/ Reason:

  1. Sterling on Tuesday sat at $1.3604, rose 0.15% after slipped to a 1-week low of $1.3519 overnight.

  2. British firms call for immediate $10.3 billion in COVID aid from the government.

  3. Traders expecting U.S. Treasury Secretary nominee Janet Yellen to affirm a more traditional commitment to market-set currency rates when she testifies at Capitol Hill later.

  4. Investors also watching out for U.S. President-elect Biden’s inauguration speech on Wednesday for details on the country’s $1.9 trillion aid package.

GBPUSD