US: Building Permits rose by 925K in January

Despite the recent drama surrounding the G20 the USD has managed to avert triggering an aggressive downside head and shoulders pattern by finding support on the neckline. According to Technical Strategist William Moore at RBS, “the USD looks a lot more constructive in the short-term however the risk of this pattern breaking to the downside remains and that risk would materialize should the 79.00 and 78.60 levels ultimately be broken. Otherwise we expect some previous monthly highs to be resistance at 80.86 and 81.46.”