Global markets started this new week on a mixed note. US futures slightly rebounded from previous session lows while Euro slipped to fresh weekly lows. For this week, the main drivers for the Financial markets remain the US stimulus negotiations, central bank meetings, the resurgence of coronavirus cases, and the movement of the US dollar.
GOLD
On Monday, during the European session, the precious metal surged to a fresh session high of $1871 but failed to break above the previous week high $1875 and retreated back to the $1860 areas. This week if the metal break above the $1875 will open the doors to $1890 and $1900. On the flip side, if the price break below the $1848 level the next support to watch $1830 and $1800.
EURUSD
The currency pair continuously trading weaker against the dollar on Monday after the disappointing German retail sales data. This week if the price breaks below 1.2050( Jan 2021 low) which would open doors towards 1.2000 and below that 1.1970/10 is next. On the upper side, the first immediate resistance can be found in 1.2140 and then 1.2180/1.2210.
USD: Dollar Index
The greenback trading higher on Monday. The Index currently faces an important resistance level at 91. Technically the overall momentum remained bullish for the USD throughout the last week. This week if the bullish momentum continues the next upside levels to watch 90.94(previous week high) and 91.20/40. On the downside, any meaningful pullback now seems to find some support near the 90.20 zones, below which the slide could further get extended towards the 89.90/89.60 region.