EUR/USD faded the spike to 1.0660
The single currency has eroded part of the earlier spike to the 1.0660 area vs. the buck, with EUR/USD now returning to the 1.0645/40 band.Spot remained apathetic after the European Commission published its Winter 2017 Economic Forecasts for the euro region.The European Commission has revised higher its GDP forecasts for 2017 and 2018, while it now expects consumer prices to rise more than the previous report during the current year. Prices in the next year should remain unchanged.Regarding the unemployment in the euro bloc, the EC sees the downtrend accelerating its pace for 2017 and 2018.In the meantime, the pair keeps navigating a narrow range amidst a consolidative theme around the buck and a generalized upbeat mood surrounding the risk-associated assets.Other than the renewed bid tone around the Dollar, recent EUR weakness could obey to the effervescence around Greece following failed attempts to clinch a deal between the Greek government and international creditors on Friday over bailout negotiations.On another direction, the speculative community continues to trim EUR net shorts, retreating to the lowest level since late May during the week ended on February 7, as showed by the latest CFTC report.At the moment the pair is losing 0.02% at 1.0638 facing the next support at 1.0608 (low Feb.13) followed by 1.0587 (low Jan.19) and finally 1.0452 (low Jan.11). On the upside, a breakout of 1.0670 (high Feb.10) would target 1.0710 (20-day sma) en route to 1.0758 (100-day sma/short-term resistance line).

GBP/USD a test of 1.2697 is not ruled out Commerzbank
Karen Jones, Head of FICC Technical Analysis at Commerzbank, has not ruled out a visit to 1.2697.?GBP/USD spent most of last week trading around its 55 day ma ? it lies at 1.2435 and we are unable to rule out another run up to the top of the channel at 1.2697. The near term risk is that this will again hold. A close below the 55 day ma will introduce potential to the 1.2253 the 18th January low. The intraday Elliott counts remain negative and our bias is neutral to negative?.?We suspect that prices will need to go sub 1.2250 in order to alleviate immediate upside pressure and trigger losses to the 1.1988/80 recent low?.?Above 1.2700 would allow for further strength to the 1.2776 December high. Between here and 1.2836 lies several Fibonacci retracements and major resistance and we suspect that it will struggle here?.

EUR/JPY: Go long at 115, targets 130 Societe General
Macro Strategist Kit Juckes at Societe General offers outlook on the EUR/JPY cross heading into the French elections.?The bounce in USD/JPY has allowed EUR/JPY to bounce off 120. We would really, really like to get EURJPY longs in place at 115, between now and the French election, with a target around 130. Bloomberg have started tracking betting on for the main candidates in the French election and the trend, a the moment, is for Marine Le Pen to improve while Emmanuel Macron, her main challenger, marks time (albeit with a significant lead).??EUR/USD peaked at about the same time as that lead peaked and with protests in the French suburbs this weekend, the risk of continued nervousness seems pretty clear. We'd still, in general, like to get long Euros closer to the vote and at cheaper levels. This week, we get ECB ?Minutes', Q4 GDP data, and fresh economic forecasts.

USD/JPY after US-Japan summit Deutsche Bank
Strategists at Deutsche Bank analyze the outlook for the USD/JPY pair following Trump-Abe Summit, arguing that risk remains to the downside amid uncertainty surrounding the US fiscal and monetary policy expectations.?The summit has undoubtedly reduced concerns about politically triggered yen appreciation to an extent. We now expect US fiscal and monetary policy expectations to firm up downside support for USD/JPY in the near term. Fed Chair Yellen is set to testify before the Upper and Lower Houses on Tuesday and Wednesday this week. We think Yellen will avoid giving a clear signal on the next hike at this point, while maintaining the possibility of three hikes this year.??We see firmer near-term downside support for USD/JPY within the 110-115 range, shifting to 115-120 within 3-6 months as US fiscal and monetary policy advances. If the full range of promised fiscal policies is introduced over the next 1-2 years we would see this as consistent with a USD/JPY of 120-125, but this range would be highly sensitive to political developments. The Japanese government could verbally intervene to slow yen depreciation if USD/JPY showed signs of breaking above 115-120.?

USD/CAD softer, back below 1.3100
The Canadian Dollar is now picking up some pace vs. its American counterpart, sending USD/CAD back to sub-1.3100 levels.The upside momentum around the buck has eased a tad from overnight tops in the vicinity of 1.3120, dragging the pair back below the key support at 1.3100 the figure early in the European trading hours.Spot is still looking to stabilize following the drop from last weeks tops above the 1.3200 handle, although a clear catalyst for a clearer move still remains absent, as CAD?s sensitiveness to crude oil dynamics and/or yields spread has been running out of steam in recent sessions.However, CAD remains underpinned by speculative positioning, with net longs climbing to the highest level since late September in the week to February 7 and according to the latest CFTC report.As of writing the pair is up 0.023% at 1.3089 and a surpass of 1.3132 (20-day sma) would aim for 1.3141 (200-day sma) and finally 1.3215 (high Feb.7). On the other hand, the immediate support aligns at 1.3061 (low Feb.10) seconded by 1.3016 (low Jan.17) and then 1.2967 (low Jan.31)

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