Source: PaxForex Premium Analytics Portal, Technical Insight
ECB head Lagarde: the rise in Covid 19 infections is a significant bearish risk for the eurozone:
An accommodative monetary policy is still needed;
If all goes according to plan, the EU economy could grow as early as this year;
It is essential to maintain a favorable environment in the financial sector;
A more sustained economic recovery is a prerequisite for inflation to return to pre-pandemic levels;
While inflation should continue to rise in the coming months, underlying price pressures should remain subdued;
Despite some acceleration in growth in January, inflation remains subdued;
The interplay of monetary and fiscal policy is vital.
EUR/USD, 30 min
Pivot: 1.2080
Analysis:
Provided that the currency pair is traded above 1.2045, follow the recommendations below:
- Time frame: 30 min
- Recommendation: long position
- Entry point: 1.2080
- Take Profit 1: 1.2100
- Take Profit 2: 1.2120
Alternative scenario:
In case of breakdown of the level 1.2045, follow the recommendations below:
- Time frame: 30 min
- Recommendation: short position
- Entry point: 1.2045
- Take Profit 1: 1.2020
- Take Profit 2: 1.2000
Comment:
RSI is bullish and indicates an uptrend within a day.
Key levels:
| Resistance | Support |
| 1.2140 | 1.2045 |
| 1.2120 | 1.2020 |
| 1.2100 | 1.2000 |
EUR/USD, D1
Pivot: 1.2042
Analysis:
While the price is below 1.2190, follow the recommendations below:
- Time frame: D1
- Recommendation: short position
- Entry point: 1.2042
- Take Profit 1: 1.1925
- Take Profit 2: 1.1745
Alternative scenario:
If the level 1.2190 is broken-out, follow the recommendations below:
- Time frame: D1
- Recommendation: long position
- Entry point: 1.2190
- Take Profit 1: 1.2345
- Take Profit 2: 1.2410
Comment:
RSI shows the development of a downtrend in a medium term.
Key levels:
| Resistance | Support |
| 1.2410 | 1.1925 |
| 1.2345 | 1.1745 |
| 1.2190 | 1.1600 |
We also advise you to pay attention to the following currency pairs for intraday trading:
USD/CAD – short positions below 1.2755 with 1.2700 and 1.2685 targets as Take Profit. Alternative scenario - if the level of 1.2755 is broken-out, buy with the targets 1.2780 and 1.2805 as Take Profit.
GBP/USD - buy above 1.3740 with 1.3800 and 1.3825 targets as Take Profit. Alternative scenario - if the level 1.3740 is broken-down, sell with the TP 1.3720 and 1.3700.
AUD/USD – buy above 0.7695 with 0.7780 and 0.7800 targets as Take Profit. Alternative scenario - if the level 0.7695 is broken-down, buy with the TP 0.7670 and 0.7650.
