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UFXBank Forex News: Oil Reaches 30 Month High
Written by article default Tuesday, 05 April 2011 06:33
USD Dollar (USD) – The Dollar traded mixed against the major currencies of Forex trading as the currency markets were calm with pairs moving in small ranges. Wall Street closed mixed as the Dow Jones rose by 0.19% and the NASDAQ fell by 0.01%. Crude Oil rose by 0.5% and closed at $108.47 a barrel due to instability in North Africa and as long as the situation is unresolved, the prices will keep rising. So far, oil has reached a 30 month high. Gold (XAU) rose by 0.3% and closed at $1,433 an ounce. Today, Fed Chairman Ben Bernanke Speaks and the FOMC Meeting Minutes are expected.
Euro (EUR) – The EUR/USD closed almost unchanged after a calm day in the currency markets. The most important event for the euro this week is the interest rate decision that will come out on the 7th, where expectations are that there will be a rate hike of 25 basis points (0.25%). The EUR/USD is facing a resistance at 1.4280 and once it breaks this level, it will continue to 1.4400. Overall, EUR/USD traded with a low of 1.4192 and with a high of 1.4267. Today, no major economic data is expected.
EUR/USD – Last: 1.4198
|
Resistance |
1.4240 |
1.4280 |
1.4400 |
|
Support |
1.4175 |
1.4147 |
1.4061 |
British Pound (GBP) – The Pound gained yesterday against the greenback and traded above 1.6100, twice touching the resistance at 1.6170, and slowly moving up. Holding above the support zones of 1.6150 will keep the pair’s movement bullish. Overall, GBP/USD traded with a low of 1.6100 and with a high of 1.6176. Investors are awaiting the interest rate decision this week. Today, no major economic data is expected.
GBP/USD - Last: 1.6121
|
Resistance |
1.6150 |
1.6175 |
|
|
Support |
1.6108 |
1.6080 |
1.6027 |
Japanese Yen (JPY) - The dollar fluctuated against the yen as the Federal Reserve Bank of Atlanta’s President Dennis Lockhart said that the economic recovery still faces challenges, encouraging speculation that interest rates will hold steady this year. The momentum is bullish and facing a strong resistance at 84.80. After all USD/JPY traded with a low of 83.84 and with a high of 84.37. No economic data is expected today.
USD/JPY - Last: 84.36
|
Resistance |
84.75 |
85.60 |
|
|
Support |
83.86 |
83.15 |
82.54 |
Canadian dollar (CAD) – The Canadian Dollar fell against the U.S. dollar even though oil keeps rising, reaching a two and a half year high. If oil prices will continue to strengthen, it may bring the pair to new record lows. The pair is facing a resistance at 0.9680 according to the daily chart. Overall, USD/CAD traded with a low 0.9615 and with a high of 0.9686. Today no economic data is expected.
USD/CAD - Last: 0.9676
|
Resistance |
0.9697 |
0.9747 |
0.9782 |
|
Support |
0.9660 |
0.9616 |
0.9580 |