FXstreet.com (Barcelona) - The first two rate decisions of the week had certainly hit the market. Last night the Reserve Bank of Australia decision to hold rates triggered some risk appetite spikes between risk-sensitive currencies such as Euro and Gbp that regained part of the ground lost past Monday. Yet the bounce proved to be short lived, as weaker U.S. stocks revive risk aversion. Canada however, cut the overnight target by 0.50 basis points to 0.50%, and weakened close to a 4 years low, the 1.3000 area.

Euro and Gbp remain under strong selling pressure, not far from critical support levels, that proved their strength past Tuesday. Euro bounced from the 1.2510 zone (any move under will probably trigger sell-stops and should then expose a retest of the lows around 1.2330 from past October over the next days) while Gbp tested the 1.3950 inflexion zone.

EUR /USD -Daily charts remain bearish, with lower highs and lower lows. Opening to the downside, break under 1.2500/10 could trigger selling stops and send the pair way down with next supports at 1.2468 and 1.2423. Consider resistances at 1.2557 and 1.2600 zone. Clear break above 1.2660 could change the bearish bias.

GBP/USD - The 1.4000 zone is holding the pair downside quite well at the moment, but general perspective does not change: the pair remains bearish in bigger charts. Supports to take care off will be the 1.3990 and 1.3950, past Monday minimum and tough congestion zone. Under that level, consider 1.3856 and 1.3786 zone. The zone between 1.4070/90 will be first minor resistance for today, followed by the tough zone around 1.4135, 1.4160 (yesterday's high), 1.4208 and 1.4282.