UFXBank Forex News: Euro Rising on the Dollar

Written by article default Tuesday, 25 January 2011 08:12

USD Dollar (USD) – The Dollar fluctuated against the major currencies and has been trading near a two-month low versus the euro before the Fed's policy meeting, where the Fed has expressed that it still has concerns about high unemployment. The Stock Markets in the U.S closed positive as the Dow Jones rose by 0.92% and the NASDAQ rose by 1.04%. Crude Oil slumped by 1.4%, closing at $87.87 a barrel. Gold (XAU) strengthened by 0.3% closing at $1344 an ounce. Today, CB Consumer Confidence is expected at 53.50 vs. 52.50 previously.

Euro (EUR) – The Euro rose against the Dollar in Forex trading and closed above the resistance level of 1.3600, a high of two months. According to the daily chart, trading above 1.6000 will keep the momentum bullish for the pair, facing resistance at 1.3780 and support at 1.3500 in case it rebounds. Overall, EUR/USD traded with a low of 1.3540 and with a high of 1.3686. Today, no major economic data is expected.

EUR/USD – Last: 1.3670

British Pound (GBP) – The Pound closed almost unchanged versus the Dollar and was captured again around the 1.6000 area, which is the major resistance level for the pair according to the daily chart. Holding below the resistance level of 1.6040 turns the momentum to negative for the GBP/USD pair. Overall, GBP/USD traded with a low of 1.5921 and with a high of 1.6013. Today, the GDP (QoQ) is expected at 0.50% vs. 0.70% prior, and BoE Gov King Speaks.

GBP/USD - Last: 1.6010

Japanese Yen (JPY) – The Yen rose against the Dollar and closed around the 82.30 area. Trading above 82.30 will make the momentum positive for the pair, but in case the pair breaks below this support level, it will continue to 82.00 and then to 81.25. Overall, USD/JPY traded with a low of 82.30 and with a high of 82.92. No economic data is expected today.

USD/JPY-Last: 82.38

Canadian dollar (CAD) – Canada’s Dollar weakened against all of its major counterparts as commodities fell and as crude oil prices dropped after Saudi Arabian Oil Minister Ali al-Naimi signaled OPEC may bolster production. Breaching the resistance level of 1.0020 might extend the pair further. Overall, USD/CAD traded with a low of 0.9918 and with a high of 0.9982. Today, the Core CPI (MoM) is expected at -0.10% vs. 0.00% previously.

USD/CAD - Last: 0.9928