Covid-19 vaccine – MaiMarFX

Dear traders,

The British pound rose to a high of 1.3273 Tuesday as the U.K. and European Union edge closer to agreement on longstanding sticking points. A possible breakthrough could be announced as soon as Monday while there is still potential for the negotiations to collapse.

GBP/USD: The cable will now need to overcome the 1.33-1.3310 hurdle and if that bullish breakout happens, we will turn our focus to a higher target at 1.3480. On the downside, the 1.32-level will now play an important role and if the pound falls below 1.3190 we may see a dip toward 1.31.

No Big Market Moves

With the election uncertainty behind us, the market’s focus turned to Covid and the vaccines but we remember that wide distribution of a shot is still months away, which is why big market movements are currently missing. We may get some news on the stimulus front in the next weeks that could breathe new life into the market. We will wait and see.

EUR/USD: We still see a current resistance at 1.1940-50. If the euro, however, falls back below 1.1840 in short-term time frames it may extend losses toward 1.18 and 1.1750.

DAX: Traders should pay attention to breakouts either above 13280 or below 13000 that could generate further bullish or bearish momentum.

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Any and all liability of the author is excluded.

Dear traders,

Stocks surged amid Covid-19 vaccine developments that fueled optimism that the world will soon have a potential way out of the pandemic. However, questions about safety and efficacy of the shot remain while it is still too early.

The DAX jumped to the highest level in almost two months, reversing shy of 13300. Our profit target appeared to be small, compared to the fact that yesterday’s bullish move turned out to be a more than 400-points-jump.

The euro hit 1.1920 before price reversed. In short-term time frames we now expect further losses in the EUR/USD.

The cable failed to find a clear direction and traded between 1.3210 and 1.3115.

Disclaimer: All trading ideas and expressions of opinion made in the instructions are the personal opinion and assumption of MaiMarFX traders. They are not meant to be a solicitation or recommendation to buy or sell a specific financial instrument.