EURUSD - Current Price $1.0509 (-$0.0028)
EURUSD is on the back foot this morning, tumbling from the mid-$1.0500s to its lowest level since 11th January due to the political uncertainty surrounding the EU as anti-euro candidates like Marine Le Pen are making strong inroads. The single currency will continue to fall if German IFO comes in weaker along with cooler pan-Euorzone CPI. In terms of technicals, we target support at the 11th January low at $1.0454 followed by the January 4th low at $1.0390. On the upside, the overnight high at $1.0556 and last Thursday’s low at $1.0591 are in focus.
GBPUSD - Current Price $1.2491 (+$0.0017)
Sterling remains firmer ahead of the preliminary UK Q4 GDP, sending Cable to just above the $1.2500 handle. Brexit concerns appear to have faded somewhat as the market is now perhaps looking past the impending triggering of Article 50. From a technical view, Friday’s high at $1.2511 may offer some resistance ahead of last Tuesday’s high at $1.2548. On the downside, we look for support at yesterday’s low of $1.2402 followed by last Thursday’s low of $1.2383.
USDJPY - Current Price ¥113.30 (-¥0.38)
USDJPY ticked a little higher in very early Tokyo time but topped around ¥113.70 and slid to session lows around ¥113.20, snapping two consecutive days of gains ahead of tonight's key FOMC minutes. From a technical view, yesterday’s low at ¥113.09 may offer some support ahead of Monday’s low at ¥112.77. On the upside, yesterday’s high at ¥113.78 and last Thursday’s high at ¥114.31 are in focus.
EURGBP - Current Price 0.84349
EURGBP dropped to fresh multi-week lows today just below the 0.8403 level as the political uncertainty surrounding the EU put pressure on the Euro. Below today’s low, we look for support at the 21st December low of 0.84018 followed by the 20th December low of 0.83743. On the upside, today’s high of 0.84430 and yesterday’s high of 0.85149 are in focus.