Crude Oil Falls to $91.90 | Learn Forex | GoLearnForex.com

Crude Oil Falls to $91.90

Written by article default Thursday, 04 August 2011 08:39

USD Dollar (USD) – In forex trading, the Dollar weakened against most of the other major currencies as mixed data was reported, like the ISM PMI, which grew at the slowest pace in 17 months (52.7 vs. 53.8 forecast), however, the ADP Non Farm Employment data-- which rose 114,000 from June to July—gave way to positive momentum for risky assets and positively affected a weakened Dollar. Wall Street closed positive as the NASDAQ advanced by 0.89% and the Dow Jones by 0.25% respectively. Crude oil fell by 1.9%, closing at $91.90 a barrel. Gold (XAU) rose to a new record during the session (above $1,675), and in the end strengthened by 1.30% and closed at $1,666 an ounce. Today, Unemployment Claims are expected to rise from 398K to 406K.

Euro (EUR) – The Euro gained against the Dollar as European Retail Sales rebounded in June from a drop in the previous month, and came out at 0.9% vs. 0.5% as expected, supporting a positive Euro. The EUR/USD’s momentum is bullish above the 1.4275 level. The next resistance level on the one hour chart is at the 1.4350 level. Overall, EUR/USD traded with a low of 1.4142 and with a high of 1.4344. Today, the EU interest rate is expected to remain unchanged at 1.50%, following a decision at the ECB Press Conference.

EUR/USD – Last: 1.4295

British Pound (GBP) – The Pound strengthened against the Dollar as a report showed U.K. services growth unexpectedly strengthened and came out at 55.4 vs. 53.3 forecast. As long as the GBP/USD is trading above the 1.6380 level, the trend of the Pound is bullish. The next resistance level on the one hour chart is located at 1.6480. The RSI indicator also supports an uptrend. Overall, GBP/USD traded with a low of 1.6251 and with a high of 1.6434. Today, the interest rate is expected to remain unchanged at 0.50%, following the UK’s Bank of England MPC rate statement.

GBP/USD - Last: 1.6377

Japanese Yen (JPY) –The Yen continued to hold strong against the Dollar as U.S. Service Industries came out worse than expected and US stock market instability led investors to prefer the Yen as a safe investment. During the Asian session we saw the Yen fell sharply due to intervening in the foreign exchange market by the Bank of Japan in an effort to stem an appreciating exchange rate that threatened to damage export competitiveness. The main trend of the USD/JPY is becoming bullish; as long as the pair is trading above 78.00, the US Dollar will be favored. Overall, USD/JPY traded with a low of 76.78 and with a high of 77.37. No economic data is expected today.

USD/JPY-Last: 78.92

Canadian dollar (CAD) – The Canadian Dollar touched the lowest level in three weeks versus the US Dollar as Crude oil dropped and US data came out mixed, causing the pair to fall. As long as the pair is trading above the 0.9560 level the momentum of the US Dollar is positive; the next resistance level on the one hour chart is located at 0.9650. Overall, USD/CAD traded with a low of 0.9568 and with a high of 0.9647. No economic data is expected today.

USD/CAD - Last: 0.9640