Pressure of the expanding Euro-zone sovereign debt.
Asian and European trading sessions:
Euro: On Wednesday the EUR/USD minimum was reached at the $1.4060 level. Member of the ECB’s Executive Board, Lorenzo Bini Smaghi mentioned in his statement that risk of the expanding Euro-zone sovereign debt “should not be called insignificant”. As a result, the euro was pressured. But during the second part of the day the trading dynamics changed.
US Dollar: Greenback was supported today due to the expectations for the FRS to reinforce its credit monetary policies, as a result of the forecasted strong US labour market data.
After the release of the ADP Employment change the American dollar rate dropped. The published data turned out to be below expectations: 201K against the forecasted 208K.
British Pound: Sterling managed to stabilize and the GBP/USD pair reached the $1.6083 maximum. The released today CBI reported sales for March turned out to be much higher expectations: forecasted -1 against the factual 15.
Japanese Yen: Japanese yen demonstrated decrease against the major currencies due to the Asian stock market growth. Demand for the save-heaven assets dropped.
The USD/JPY pair reached the Y83.00 maximums. The two-week maximum was reached at the Y83.18 level.
Australian Dollar: Australian dollar set a new historical maximum against the US dollar due to the speculations regarding the possibility that the world economy growth would support the demand for the commodities, which play a major role in the Australian export.
Gold: Gold prices showed growth to the level of $1,418.30 per ounce.
Oil: Oil traded in the range of $104.33 mark per barrel. The decrease in the oil rate was a result of the released US oil inventories growth.
American trading session:
Euro: The EUR/USD pair reached maximum during the American trading session at the level of $1.4146.
Technical analysis for 31/03
EURUSD
The pair has drawn Flag and trying to break upper border of the figure. If the pair stays above 1.41780 the end of the figure maybe expected at 1.42996.
Resistance: 1.41780, 1.42996, 1.44400
Support: 1.40690, 1.39600, 1.38554
GBPUSD
The pair is rising and aiming to 1.62050.
Resistance: 1.62050, 1.64636, 1.67165
Support: 1.60322, 1.58543, 1.56722
USDCHF
The pair is declining and aiming to 0.91079.
Resistance: 0.92026, 0.93069, 0.93949
Support: 0.91079, 0.89635, 0.88417
USDJPY
The pair is trying to rise to Moving Average (200) at 83.573.
Resistance: 83.065, 83.933, 84.866
Support: 82.219, 81.399, 80.438
AUDUSD
The pair has broken 1.02705 and risen to 1.03535. The pair may return to 1.02705 before continue rising.
Resistance: 1.03535, 1.04407, 1.05311
Support: 1.02705, 1.01744, 1.00907