Dollar Goes Up Against Most Majors
Daily Review 08/09/2010
Today’s Forex Trading review:
USD Dollar (USD) – The Dollar gained against most major currencies as speculation economic growth will slow in the European zone, supported safety assets like the Dollar and the Yen. NASDAQ and Dow Jones weakened by 1.11% and 1.03% respectively , crude oil weakened by 0.36%, closing at 73.8$ a barrel, Gold (XAU) declined by 0.22% ,closing at 1256.8$ an ounce. Today, Beige Book.
EURO (EUR) – The Euro weakened for a second day versus the Dollar as stocks and commodities dropped amid concern Europe’s sovereign debt crisis may worsen. The EUR/USD has broken the support level at 1.2800 and crossed the 10 moving average on the daily chart, therefore the momentum became bearish. Overall, EUR/USD traded with a low of 1.2677 and with a high of 1.2819. Today, German Industrial Production is expected to rise from -0.6% to 1.1%.
EUR/USD – Last: 1.2695
| Resistance | 1.2745 | 1.2850 | 1.2920 |
| Support | 1.2655 |
British Pound (GBP) – The Pound extended losses against the Dollar touched a 6 week low, as risk sentiment fell amid renewed concerns over the global economic recovery. The GBP/USD continues to trade in negative range, therefore the momentum is bearish and the next support level on the daily chart is located at 1.5300,if the pair breaks this rate it will continue with its downwards trend. Overall, GBP/USD traded with a low of 1.5296 and with a high of 1.5424. Today, Manufacturing Production is expected to be unchanged at 0.30%, Industrial Production is expected to weak from -0.50% to 0.40%.
GBP/USD – Last: 1.5376
| Resistance | 1.5416 | 1.5490 | |
| Support | 1.5345 | 1.5300 |
Japanese Yen (JPY) –The Yen rallied to a 15 year high against the Dollar as slowing economic growth increased demand for the Yen as a refuge .The main momentum of the USD/JPY is still strongly bearish but it’s still fluctuating around 84.0 level and has not succeeded to break the main support at 83.50. Overall, USD/JPY traded with a low of 83.51 and with a high of 84.26.Today, BOJ Monthly Report.
USD/JPY-Last: 83.60
| Resistance | 83.85 | 84.25 | 84.65 |
| Support | 83.50 |
Canadian dollar (CAD) – The Canadian Dollar fell the most in two weeks against the Dollar as crude oil declined and concern the global economy may weaken, boosted the investors to sell higher yielding assets. The momentum of the USD/CAD became a positive for the US Dollar ,As long the USD/CAD above 1.0400 levels a long position is preferred, the next resistance on the one hour chart is located at 1.0560. Overall, USD/CAD traded with a low of 1.0352 and with a high of 1.0484. Today, Interest Rate Decision is expected to rise from 0.75% to 1.00%,Building Permits are expected to weak from 6.5% to -4.2%, Ivey PMI is expected at 55.9 vs. 54.0 prior.
USD/CAD – Last: 1.0473
| Resistance | 1.0490 | 1.0570 | 1.0675 |
| Support | 1.0340 |
