Intraday Forex Thursday, December 17 (EURUSD, USDJPY, & etc.) The dollar down as stimulus package & Brexit deal boosted risk appetite.


Hi everyone. This observation is made around 5:00 UTC today, with 30 minutes time frames. The Resistance and Support Line were constructed according to Fibonacci retrenchment. Any discussion is welcomed.

Shares in Asia-Pacific traded mixed as investors reacted to the latest announcements from the U.S. Fed & the Eurozone economy.
Bitcoin smashed through the $20,000 barrier for the first time overnight and oil prices hit a 9-month high early on the day.

The dollar fell to its lowest since April 2018 against a basket of currencies in anticipation of the easy Fed policy. Progress toward a U.S. stimulus package and a Brexit deal also boosted risk appetite at the expense of the safest assets.

I also does analysis for some other currencies. Read more on the website on TECHNICAL ANALYSIS and DAILY MARKET NEWS.

  • EUR/USD on Thursday rallied to a new 2-1/2 year high. The euro traded at $1.2225, the strongest since April 2018.​
  • Stronger-than-expected economic data on Wednesday fueled gains in the euro after the Eurozone December Markit manufacturing, composite, and services PMI rose stronger than expectations. In addition, higher German bund yields benefit EUR/USD as the 10-year German bund yield rose to a 1-1/2 week high.​
  • The dollar initially rose on the Fed's announcement, but soon slipped.​
  • The Federal Reserve on Wednesday vowed to keep funnelling cash into financial markets until the U.S. economic recovery is secure, a promise of long-term help that fell short of some investors’ hopes of an immediate move to shore up a recent pandemic-related slide.​
  • The markets were also cheered by the possibility of a Brexit trade deal, and An ECB’s decision to let euro zone banks start paying dividends again, if they have enough capital.​
Important Levels to Watch for:​
  • Resistance line of 1.22318 and 1.22656.​
  • Support line of 1.21224 and 1.20886.​

  • The dollar was down 0.14% on Thursday against the Japanese yen, to stay at 103.281, not far from 103.26, a 1-1/2-month low touched overnight.​
  • The dollar initially rose slightly on the Fed's announcement, but soon slipped.​
  • The yen strengthened on a report that Japan's MOF, the BoJ and the national mint have agreed to a three-way trade involving foreign currency reserves and $6 billion of gold to help finance a new extra budget.​
  • The dollar moves also hampered on concern on surging COVID-19 infections, aside from the rally in stocks on the day.​
Important Levels to Watch for Today:​
  • Resistance line of 103.965 and 104.228.​
  • Support line of 103.114 and 102.852.​

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