On Wednesday, eyes will remain on the Eurozone inflation figures, which are expected to report a neutral figure. But coronavirus may have its impact, and we may see Inflation figures falling for Eurozone. In this case, selling can be seen in the European currency pairs. Besides, the Canadian Inflation reports will be in focus during the U.S. session. 

The drop in crude oil prices is most likely to have their influence on Canadian inflation, and we may see a worse than expected CPI report, which is likely to weigh on the Canadian dollar.

Economic Calendar   



BTC/USD – Daily Analysis

The BTC/USD recovery from last week’s dramatic decline to $3,700 extended yesterday as the leading cryptocurrency briefly surpassed $5,500 ere pulling back beneath $5,400. The growth in the crypto market’s price action seems to have been partly inspired by a lift from today’s White House press conference, which included U.S. Treasury Secretary Steven Mnuchin authenticating rumors that the Trump Administration would accommodate a $1 trillion Coronavirus response package. 

The recent market disturbance in global financial markets has raised questionings on the price growth for BTC/USD as it’s prices are extremely volatile and are causing huge movements in the wake of risk sentiments in the market. 

Today, the BTC/USD continues to edge higher, mostly staying above $5,000, which is working as strong support for the Bitcoin. On the higher side, the resistance stays nearby $6,000, which is directing the BTC/USD prices in a bearish tone. 

BTC/USD – Daily Technical Levels

Support       Resistance 

5,168.9         5,652.15

4,881.23      5,847.73

4,397.98     6,330.98

Pivot Point 5,364.48

BTC/USD – Daily Forecast

On Wednesday, the Bitcoin’s trading range remains the same in the wake of the thin trading volume. The BTC/USD is exhibiting choppy sessions in between a range of 5,800 – 5,000. 

Today, immediate support stays at 5,245 area, and a drop below this level can trigger further selling until 5,000 marks, while a breakout of 5,000 support can lead Bitcoin prices towards 4,106. Conversely, the bullish breakout of 5,835 can lead the BTC/USD prices towards 6,345.

EUR/USD – Final CPI y/y

Today in the early Asian session, the EUR/USD currency pair found on the bullish track and taking bids near the 1.1040 mainly because the U.S. stocks futures flashing red. While the shared currency is looking to recover some attitude which was lost on Tuesday. As of writing, the EUR/USD currency pair is currently trading at 1.1038 and consolidates in the range between the 1.0985 – 1.1042.

The reason behind the EUR declines could be the U.S. stock recovery, possibly in the wake of U.S. fiscal stimulus measures talks. As well as, the markets also offered the common currency after the disappointing German Zew survey, which was showing that investor confidence dropped to its lowest level since the financial crisis.

Moving ahead, the EUR/USD currency pair could hit the deeper losses in the near term because the Eurozone economy seems to enter a slowdown. Notably, we would not be surprised if the pair tested 1.05 in the coming months, as per the latest comment from the Kathy Lien from B.K. Asset Management.

EUR/USD – Daily Technical Levels

Support Resistance 

1.1096      1.1238

1.1024      1.1309

1.0882     1.1451

Pivot Point 1.1085 

EUR/USD – Daily Forecast

The currency pair dropped by 1.64% from 1.1180 to 1.0996 on Tuesday and confirmed the most significant single-day loss since June 14, 2018. The EUR/USD pair has violated the double bottom support level of 1.1085, and now this level is going to work as a resistance. 

Below this level, we can expect further selling in the EUR/USD currency pair. On the 4 hour timeframe, the pair has formed a bearish channel, which is likely to keep the pair in a selling mode. The major currency pair can find next support around 1.0950 and 1.0850, while resistance continues to stay at 1.1085 level today. 

GBP/USD – Stronger Dollar Drives Selling

During the Wednesday’s Asian session, the GBP/USD currency pair flashing green and rose 0.47% to 1.2115 from the multi-week low as the greenback buyers taking a breath after the previous day sharp rise in USD. As the press time, the GBP/USD currency pair is currently trading at 1.2098 and consolidates in the range between the 1.2050 – 1.2129. 

At the coronavirus front, the Coronavirus (COVID-19) outbreak increased sharply in the UK as the latest death of the 45-year-old propels rally to 71 with expectations of 55,000, as per the latest report.

However, the UK Chancellor Rishi Sunak declared £330 billion incentives on the previous day whereas the UK Prime Minister Boris Johnson compared the struggles against the virus to war-time readiness. Despite this, the UK measures are rated as less helpful as compared to the US actions on the COVID-19.

Moreover, the Financial Times showed that the UK Government sources confirmed the cancellation of the next step of Brexit discussions that were to begin from today. As well as, the report also put doubts regarding the UK PM Johnson’s Brexit deadline of December 31, 2020.

GBP/USD – Daily Technical Levels

Support Resistance 

1.199        1.2256

1.1864     1.2396

1.1724     1.2522

Pivot Point 1.213

GBP/USD – Daily Forecast

The GBP/USD proceeds to trade bearish for almost the seventh consecutive trading day as it’s the price has dropped from 1.3200 to 1.2020 in these few days. In the daily timeframe, the GBP/USD pair has closed another bearish engulfing pattern, which is suggesting further selling bias until 1.1975 and 1.1864 level. 

The RSI is staying in an immensely oversold zone and surely needs a fundamental, which helps stop the bloodshed in the GBP/USD pair. On the higher side, the GBP/USD prices may find resistance at 1.2130 today. Let’s look for selling trades below 1.2130 level today. 

Good luck!  

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