Currency Updates: Fundamental Free!!!

Yet another quiet economic day from major economies, the heat is on the days that are left, while the alleged highlight should be the minutes whether from the FOMC or MPC and I say they will not be accounted much; especially that Bernanke said what he had to for markets out in the open while the BoE's inflation report skimmed the fat for all players to read into.

The judgment now is when the rate will be delivered and based on that markets are taking the vote; the Euro was the winning star today gaining ground against the dollar as despite the slowdown expected in the EU what are the rate odds compared to the dollar and how soon will the ECB break odds are not soon enough and we are looking further into the second quarter to make that final call. The euro managed the upside wave as it opened well above the strong support level at 1.4630s which also resides around 50 days MA and attempting to breach 1.4750s which is a very strong resistance as the highest set for the day was close at 1.4747 and the lowest was left intact at its early Asian session of 1.4646. The euro on the other hand was gaining well against the pounded sterling as the pair managed to gradually incline since the opening of the day's session to reach as high as 0.7569.

The pound is losing ground against majors as it plunged against the dollar as low as 1.9450s yet couldn’t continue to the downside after setting the high at the opening of the European session at 1.9540; currently the pair attempts to resume back to the opening levels trading slightly below at 1.9480s.

The Japanese yen managed to slide back below 107.50s setting as low as 107.20 and that was after the USD/JPY did not manage to breach up the 108.30s; the yen seemed to be being bought back at the time as it also managed to gain against the euro after the pair reached nearly159s declining back to as low as 157.95 which held the pair above it. While against the British pound the yen's gains were wider as it dragged the pair to trade lower since the opening of the session to reach as low as 208.77 from its opening highest traded today around 211s.

Crown Forex

Posted in: Forex