UFXBank Forex News: GBPUSD Weakens After Strong Friday Performance | Learn Forex | GoLearnForex.com

UFXBank Forex News: GBPUSD Weakens After Strong Friday Performance

Written by article default Monday, 20 June 2011 08:21

USD Dollar (USD) – The Dollar fell against the other major currencies last Friday, but at the opening of the Asian Session the Dollar strengthened once again, as European governments failed to agree on releasing a loan payment to spare Greece from default. This ramps up pressure on Prime Minister George Papandreou to first deliver budget cuts in the face of domestic opposition. Wall Street closed positive on Friday as the NASDAQ rose by 0.28% and the Dow Jones strengthened by 0.36%. Crude oil fell by 2.5%, closing at $92.12 a barrel as investors feared that the situation in Greece could affect demand. Gold (XAU) increased by $9.35 and closed at $1538.49 an ounce. Today, no major economic data is expected.

Euro (EUR) – The Euro fell in forex trading against the dollar and yen as calls for new elections in Greece dimmed prospects for austerity measures and an aid package to prevent the currency union’s first default. The Euro had strengthened on Friday on prospects of a possible aid deal to Greece, reaching a high of 1.4338. The EUR/USD’s momentum is still bearish, and as long as the pair is trading below 1.4440, the euro will probably continue to decline towards 1.4140, or even less. Overall, EUR/USD traded with a low of 1.4126 and with a high of 1.4338. Today, the Current Account is expected at -4.80B vs. -4.70B.

EUR/USD – Last: 1.4262

British Pound (GBP) – The Pound weakened against the Dollar during the Asian session after rising to almost 1.6200 last Friday. As long as the GBP/USD is trading below 1.6300, the pound’s momentum is still very bearish and a short position is preferred. The next resistance level on the one hour chart is located at 1.6225, and if it hits this level, the pound will probably continue towards 1.6300. Overall, GBP/USD traded with a low of 1.6092 and with a high of 1.6194. No economic data is expected today.

GBP/USD - Last: 1.6150

Japanese Yen (JPY) – Dollar weakness from last Friday allowed the Yen to strengthen once again against of the greenback. The USD/JPY was testing the 80.00 resistance throughout the Asian session, but only if the pair crosses the 81.20 level, will the US Dollar be bullish again. Overall, USD/JPY traded with a low of 80.00 and with a high of 80.66. No economic data is expected today.

USD/JPY-Last: 80.16

Canadian dollar (CAD) – The Canadian dollar rose against the greenback on Dollar weakness from last Friday. As long as the pair is trading above 0.9750 levels, the US Dollar is still more relevant. The next resistance level on the daily chart is located at 0.9900 levels. Overall, USD/CAD traded with a low of 0.9775 and with a high of 0.9868. Today,
BoC Gov Carney Speaks.

USD/CAD - Last: 0.9820