Dollar Almost Unchanged in Low Volatility Session | Learn Forex | GoLearnForex.com

Dollar Almost Unchanged in Low Volatility Session

Written by article default Tuesday, 05 July 2011 11:48

USD Dollar (USD) – In forex trading, the Dollar traded almost unchanged during a trading session with low volatility against the majors, as the US markets were closed due to Independence Day celebrations. Crude oil was left virtually unchanged, closing at around $95 a barrel, but will probably rise if the $95.70 level is breached. Gold (XAU) closed the gap from Friday and climbed back to $1,497 an ounce. Today, Factory Orders are expected at 1.1% vs. -1.2% previously.

Euro (EUR) – The Euro kept holding gains against the greenback even after the S&P agency said that the current voluntary rollover plan with private holders of Greek debt will form a default event. On the daily chart, we can see that the Euro has accomplished six consecutive days of advancing. Holding below the resistance level of 1.4570 turns the momentum to negative in the pair. Overall, EUR/USD traded with a low of 1.4495 and with a high of 1.4577. Today, Retail Sales are expected at -0.9% vs. 0.7% previously.

EUR/USD – Last: 1.4485

British Pound (GBP) – The Pound gained modestly versus the dollar but was rejected after hitting the 1.6140 resistance area and declined back to 1.61 zones. The Construction PMI came out at 53.6, which is unchanged, as expected. The Sterling could gather more power against the greenback if the resistance level of 1.6140 is finally breached, if not, it will decline back to 1.6 areas. Overall, GBP/USD traded with a low of 1.6053 and with a high of 1.6138. Today, the Services PMI are expected at 53.6 vs. 53.8 previously.

GBP/USD - Last: 1.6046

Japanese Yen (JPY) – The yen traded unchanged against the dollar as another day of struggle took place between these two currencies. In general, not much is expected from this pair as it has been trading in a range of approximately 150 pips for more than a month. The Average Cash Earnings came out at 1.1%, better than the expected -0.4%. A breakthrough may only occur for this pair if the resistance level of 81.30 is breached or the support level of 79.70 is finally broken. Otherwise, we will continue to see fluctuation between those boundaries. Overall, USD/JPY traded with a low of 80.52 and with a high of 80.93. No economic data is expected today.

USD/JPY-Last: 80.99

Canadian dollar (CAD) - The Canadian dollar's rally against the U.S dollar was halted after the pair found a support at 0.9580 zones. A possible reason for this is that there are overbought conditions for the Loonie.  The RMPI, came out at -5.2%, worse than the expected -3%. Holding above the support level of 0.9580 turns the trend to positive for the pair. Overall, USD/CAD traded with a low of 0.9578 and with a high of 0.9616. No economic data is expected today.

USD/CAD - Last: 0.9613