The European Central Bank will publish the monetary policy statement with the interest rate decision on January 21, at 14:45 MT time.
Market updates on November 18
- The EURUSD is likely to continue the upward trend taken on Thursday last week, with regular bearish downslopes on the way. On the H1 chart of EURUSD, a local drop is currently taking place. The RSI has recently crossed the 70% upside-down. Therefore, the bears will be guiding the price for some time. The support levels they will be looking at may be located at 1.1044, 1.1016 and 1.0998. While the general uptrend may have 1.1063 and 1.1076 as resistance levels.
- The GBP is also showing a gradual rise against the USD. On the H4 chart of GBPUSD, the uptrend has started last Thursday and is currently on the way. A 3-weeks high of 1.2961 and a 4-weeks high of 1.2992 are the limits from the resistance side for the upward movement. However, it may soon revert to the downward trend as the RSI is currently in the oversold zone. The bearish direction in this scenario may have the support levels located at 1.2900, 1.2874 and 1.2828.
- The USDJPY pair is in a local decision-making moment. On the H4 chart, it is testing the resistance level of 108.85 – the level it dropped from last Wednesday. If it is broken, the bulls will likely rule the market, with 109.09 and 109.21 checking the uptrend. Otherwise, the low of 108.33 may be marked as the support level.
The market optimism waned amid stricter restrictions to control rising coronavirus infections. S&P 500 and Nasdaq dropped from the all-time highs, while the USD jumped higher.
S&P 500 skyrocketed to the all-time high on optimism that Biden’s fiscal stimulus will support economic growth and boost corporate earnings.
PMI reports from the EU, the UK, and the USA will be released during the day!