EUR/USD maintains bearish bias, dips below 1.0750 level
The offered tone witnessed around the shared currency remains unabated, with the EUR/USD pair extending its rejection move from 1.0800 handle to touch a fresh session low below mid-1.0700s.Currently trading around 1.0740 level, the pair ignored upbeat German factor orders data and in-line with estimates Euro-zone Sentix Investor Confidence index, and maintained bearish bias through mid-European trading session.The pair has now reversed all of Friday's mixed US jobs report-led up-move and the downslide has been solely driven by the ongoing greenback recovery. In fact, the key US Dollar Index built on its early recovery move and is now aiming to reclaim 100.00 psychological mark.Traders on Monday would now look forward to the scheduled speech from ECB President Draghi in order to grab some short-term trading opportunities. A follow through selling pressure is likely to drag the pair towards 1.0715-10 support area below which the downslide could get extended towards 1.0675 horizontal support, en-route 50-day SMA support near 1.0600 round figure mark.On the upside, any recovery attempts above 1.0775-80 region might continue to confront strong resistance near 1.0800-10 region (100-day SMA), which if conquered might trigger a short-covering rally towards 1.0840 level (Dec. 8 high) before lifting it further towards 1.0880 horizontal resistance.

GBP/USD bias remains negative Commerzbank
In light of the recent price action, Cable?s bias remains on the negative side, suggested Karen Jones, Head of FICC Technical Analysis at Commerzbank.?GBP/USD last week was rejected by the top of a channel at 1.2710. We also saw a divergence of the daily RSI and the market has eased back to the 55 and 100 day moving averages at 1.2427/60. We will need for these to be eroded for potential to the 1.2253 the 18th January low. Our bias is negative?.?We suspect that prices will need to go sub 1.2250 in order to alleviate immediate upside pressure. Support at 1.2250 guards the 1.1988/80 recent low?.?Above 1.2710 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?.

AUD/USD extends soft retail sales data-led slide, reverses Friday?s up-move
The AUD/USD major extended disappointing Australian retail sales-led slide and has now reversed all of Friday's up-move.Currently trading around mid-0.7600s, testing session lows, the pair came under some selling pressure on Monday after Australian monthly retail sales unexpectedly fell 0.1% in December, marking its first contraction in five months. The reading was also short of consensus estimates, anticipating a growth and down from previous month's tepid growth of 0.1% (revised lower from 0.2% reported earlier). Dismal retail sales data prompted traders to take some profit off the table against the backdrop of RBA monetary policy decision on Tuesday and repeated failures to clear 0.7700 round figure mark. Although the Australian central bank is expected to leave its key interest rates unchanged at 1.5% but the accompanying rate statement is expected to hint towards a dovish shift and might trigger a near-term corrective slide.A follow through selling pressure below session lows support near 0.7650 level is likely to extend the corrective slide towards 0.7600 handle below which a fresh leg of weakness could drag the pair back towards 0.7555-50 horizontal support. On the flip side, momentum back above 0.7680 level is likely assist the pair back towards 0.7700 handle, which if conquered has the potential to lift it to 0.7720-25 intermediate resistance, en-route 0.7760 strong hurdle.

USD/CHF rallies appear capped around 0.9990 Commerzbank
In view of Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair?s upside could be limited around the 0.9990 area.?USD/CHF bounced from the 200 day ma at .9878, the 55 week ma also lies here at .9862 and the 61.8% Fibo is found at .9853. We saw a small recovery last week but note that rallies are likely to remain capped by the short term downtrend at 0.9987. Below .9850 would introduce scope to the 78.6% retracement at .9720?.?A close above .9987/1.0016 (downtrend and 20 day ma) is needed to alleviate downside pressure and generate some upside interest to 1.0248 11th January high and the 1.0328 2015 and 1.0344 December 2016 highs?.

USD/CAD confined in a narrow trading band above 1.30 mark
The USD/CAD pair seesawed between tepid gains and minor losses, within 30-pips narrow trading band, and is now trading nearly unchanged from yesterday?s closing level.Currently trading around 1.3025 region, the pair struggled for a firm direction and extended its consolidative price-action near last week?s multi-month lows. The effect of rising crude oil prices, which tends to benefit the commodity-linked currency Loonies, is being negated by a modest greenback recovery and has kept the pair confined within a narrow trading range. Investors on Monday sought clarity on how Friday's mixed jobs report will affect the Federal Reserve's monetary policy outlook and gave the benefit of doubt to the greenback. In fact, the key US Dollar Index has now recovered back to 100.00 psychological mark, despite of prevailing uncertainty over the US President Donald Trump's pledged fiscal policies.Meanwhile, concerns about any extension of new US sanctions on Iran lend support to oil prices, with WTI crude oil trading with some minor gain around $54.00/barrel mark, thus resulting into a range-bound price action around the major.In absence of any major economic releases, the combination of market sentiment surrounding the greenback and oil price dynamics would continue to be key determinants of the pair?s movement on Monday. On a sustained break below 1.30 psychological mark, the pair is likely to accelerate the slide towards Jan. monthly lows support near 1.2970 level below which the pair would turn vulnerable to slide further towards 1.2920 horizontal support ahead of 1.2900 round figure mark. Meanwhile on the upside, 1.3050 area seems to act as immediate resistance, which if cleared might trigger a short-covering rally towards 1.3100 handle, en-route the very important 200-day SMA support break-point, turned strong hurdle, near 1.3125 region.

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