UFXBank Forex News: Portugal Bonds Release Boost Euro | Learn Forex | GoLearnForex.com

UFXBank Forex News: Portugal Bonds Release Boost Euro

Written by article default Wednesday, 12 January 2011 07:40

USD Dollar (USD) – The Dollar traded mixed against the major currencies as concerns linger after a Federal Reserve official placed some doubt over the strength of the U.S. economic recovery. The NASDAQ rose by 0.33% and the Dow Jones strengthen by 0.30%, Crude oil rose by 2.1% and closed at $91.11 a barrel.  Gold (XAU) jumped more than 10 dollars and closed at $1384.30 an ounce. Today, the Import Price Index (MoM) is expected at 1.20% vs. 1.30% previously, Treasury Secretary Geithner Speaks, the Beige book is expected today, and the Federal Budget Balance.

Euro (EUR) – The Euro rose against the Dollar for the 3^rd day and crossed the resistance level of 1.3000 during the Asian trading session which is in anticipation of the release of Portugal bonds.  The momentum of the EUR/USD seems to be bullish, but is facing resistance at 1.3100. As long as the rate is below 1.3100 levels, a short position is preferred. Overall, EUR/USD traded with a low of 1.2903 and with a high of 1.2992. Today, no major economic data is expected except the release of Portuguese bonds.

EUR/USD – Last: 1.3000

British Pound (GBP) – The Pound has risen against the dollar over the last 4 days. The main support line of the GBP/USD is 1.5400 according the daily chart. The pair broke the resistance level of 1.5650 during the Asian trading session, but was again trading in a range. Breaking the 1.5650 levels will take the pair towards 1.5800, and as long as the pair trades above 1.5600, a long position is preferred. Overall, GBP/USD traded with a low of 1.5511 and with a high of 1.5639. Today, the Trade Balance is expected at -8.20B vs. -8.50B previously.

GBP/USD - Last: 1.5629

Japanese Yen (JPY) –The Yen fell against the dollar during yesterday’s Forex Trading. The momentum for the pair is bullish according to the daily chart, but the pair is captured again at the resistance area of 83.40. As long as it’s trading above 83.40 levels, a long position is preferred. Overall, USD/JPY traded with a low of 82.67 and with a high of 83.48. No economic data is expected today.

USD/JPY-Last: 83.12

Canadian dollar (CAD) – The Canadian Dollar strengthened against the U.S Dollar breaking the support level of 0.9900 and in now located at a two and a half year low - since May 2008. The next support level on the daily chart is still located at 0.9825. The trend is bearish, but expecting a correction for today. Overall, USD/CAD traded with a low of 0.9891 and with a high of 0.9949. Today, no major economic data is expected.

USD/CAD - Last: 0.9886