Dollar trades mixed ahead of FOMC meeting

Euro Recoups Losses ✕

The euro currency pared losses from Monday as the US dollar weakened on Tuesday.

Price action continues to remain to consolidate near the key resistance area of 1.2177 – 1.2144.

Since Friday, the euro currency has been stuck in this resistance area. Meanwhile, the ascending triangle pattern continues to remain in play.

For price to continue to push higher, a breakout above the 1.2177 level is needed.

To the downside, a breakdown of the trend line could open the way for the euro to retest the 1.2050 level a bit more firmly.

The British pound sterling followed suit with many of its peers by paring losses from Tuesday.

Price action posted a strong rebound, which coincides with the medium-term trend line. This rebound saw prices breaking past the 1.3700 handle once again.

Further gains are needed to confirm the continuation of the upside.

For the moment, the Stochastics oscillator shows that there could be further room to the upside.

However, if prices reverse, then watch for the trend line to break. This will open the way to the 1.3500 level for the GBPUSD.

Crude Oil Maintains A Hold On The Sideways Range ✕

WTI crude oil prices continue to remain trading flat within the larger horizon. Price action gave back the short term gains made.

For the moment, oil prices remain firmly entrenched within the 53.70 and 51.87 levels.

With prices failing to push higher, we could see an eventual breakdown.

A strong close below 51.87 will no doubt see the 49.00 level coming into play.

But for the moment, the sideways range could continue, unless the breakout is driven by some strong fundamentals.

Gold Prices Subdued On Stimulus Worries ✕

The precious metal was seen trading subdued albeit, trading flat. Price action managed to post intraday gains before giving them back.

As a result, gold prices are back trading strongly near the 1850 handle. A close below this level could open the way toward the 1817.80 level of support once again.

However, the direction is likely to be determined by some fundamental catalyst for the moment.

To the upside, the 1911.50 level is within reach if gold prices can close out above the 1874.00 level.